Sarkari Yojana
Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)
About Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)
This scheme targets manufacturers of components/sub-assemblies for Air Conditioners & LED Lights, offering a 4–6% incentive on incremental sales to drive localization, cut imports, and build a domestic supply chain. Objective & Scope It seeks to lift domestic manufacturing, reduce import dependence, build a strong component ecosystem for white goods, and place India within the global supply chain, targeting companies that invest in manufacturing components or sub-assemblies for:
- Air Conditioners (ACs) — e.g. compressors, copper tubes, heat exchangers, motors, control assemblies, etc.
- LED Lights — e.g. LED chips & packaging, LED drivers, LED engines, light-management systems, and other components across the LED-light value chain.
Implementation Period & Financial Outlay
- The scheme runs from FY 2021-22 to FY 2028-29
- The total approved outlay stands at Rs 6,238 crore.
- Incentives run for 5 years on incremental sales (after a one / two year gestation period), measured over the base year.
Scheme Overview
Central Government
Ministry Of Commerce And Industry
16 Apr 2021
Scheme Details
Eligibility Requirements
To qualify for Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights), applicants must satisfy the following conditions:
Companies making brown field or green field Investments…
Companies making brown field or green field Investments for manufacturing in target segments in India will receive the incentive under the Scheme.
Eligibility depends on hitting thresholds of net incremental…
Eligibility depends on hitting thresholds of net incremental sales of Eligible Products for the respective financial year over the base year, or net incremental sales of eligible products over the base year or FY 2020-21, whichever is higher, as the case may be, along with cumulative incremental investment in the preceding financial year, which shall not be less than the threshold investment detailed in Appendix-I or Appendix IA of the Scheme Guidelines, as the case may be.
Where an applicant does not meet the threshold…
Where an applicant does not meet the threshold investment or threshold net incremental sales criteria for any given year, the applicant shall not be eligible for disbursement of incentive for that particular financial year. However, the applicant will not be restricted from claiming incentive for subsequent years during the tenure of the Scheme, provided eligibility criteria of cumulative committed investment and threshold net incremental sales are met for such subsequent financial years.
The incremental sales of eligible products should be…
The incremental sales of eligible products should be commensurate with the production capacity created from investments committed under the scheme.
For determining an applicant's eligibility with respect to…
For determining an applicant's eligibility with respect to incremental investment, investment covered under any other PLI Scheme of the Govt. of India shall not be considered for determining eligibility under this PLI Scheme, and vice-versa.
In every financial year for which the incentive…
In every financial year for which the incentive is claimed, the net sales turnover of eligible products of the selected applicant and its group companies shall not be less than the sum of their net sales turnover of eligible products manufactured in India in the base year, for applicants meeting the pre-qualification criteria on the basis of financial attributes of the base year, and the higher of net sales turnover of eligible products in the base year or FY 2020-21, for applicants meeting the pre-qualification criteria on the basis of financial attributes of FY 2020-21; along with the corresponding threshold incremental net sales turnover of the selected applicant as detailed in Appendix-1 or Appendix-IA of the Scheme Guidelines, as the case may be.
For applicants opting for the initial investment period…
For applicants opting for the initial investment period of 1st April, 2021 to 31st March, 2023, the first and last year for achieving the required corresponding threshold incremental sales to avail the PLI shall be FY 2023-2024 and FY 2027-28 respectively, as detailed in Appendix -IA of the Scheme Guidelines.
Benefits Provided
Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights) provides the following benefits to eligible applicants:
Companies that qualify receive financial incentives of 4%…
Companies that qualify receive financial incentives of 4% to 6% on the net incremental sales of goods manufactured in India under the scheme.
Domestic value addition is targeted to rise sharply,…
Domestic value addition is targeted to rise sharply, from the current ~15–20% to ~75–80%.
Production and exports of AC & LED components…
Production and exports of AC & LED components are expected to grow substantially.
A large amount of employment, both direct and…
A large amount of employment, both direct and indirect, is generated across the manufacturing ecosystem.
A full “component-to-final-product” ecosystem is built up, cutting…
A full “component-to-final-product” ecosystem is built up, cutting reliance on imports.
Documents Required
Applicants should keep the following documents ready before starting the application:
A Letter of Authorization
A Letter of Authorization.
The Company's PAN Card
The Company's PAN Card.
A Certificate of Incorporation
A Certificate of Incorporation.
The Memorandum of Association (MOA)
The Memorandum of Association (MOA).
The Articles of Association (AOA)
The Articles of Association (AOA).
A Board Resolution covering application approval and the…
A Board Resolution covering application approval and the authorized signatory.
A Technology Transfer Agreement, where applicable
A Technology Transfer Agreement, where applicable.
A Business Agreement
A Business Agreement.
A Business Profile of the applicant
A Business Profile of the applicant.
A list of the Top 10 Shareholders
A list of the Top 10 Shareholders.
The latest CIBIL Report
The latest CIBIL Report.
Profiles of the Directors
Profiles of the Directors. Document ChecklistDocument Checklist Document Checklist
2021-04-16
How to Apply
Online Application
Applicants can apply for Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights) through the online application process outlined below.
Go to the official website of the Department…
Go to the official website of the Department for Promotion of Industry and Internal Trade (DPIIT) and register on the PLI-WG Online Portal.
Complete the online application form, upload all necessary…
Complete the online application form, upload all necessary documents, and pay the application fee.
The competent authority reviews the application and grants…
The competent authority reviews the application and grants approval once all requirements are met.
After approval, follow all required compliance procedures and…
After approval, follow all required compliance procedures and guidelines to maintain eligibility.
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.