Sarkari Yojana
“Generator Subsidy” under “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries – Various Incentives”
About “Generator Subsidy” under “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries – Various Incentives”
Run by the Industries and Commerce Department of the Union Territory of Puducherry, the “Generator Subsidy” under “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries – Various Incentives” has been operative since 1st April 2017 across the entire UT. It reimburses micro, small, medium, and large industrial units with a 50% subsidy toward buying and installing generators, and applicants must submit the prescribed form offline through the department’s official website.
Scheme Details
Eligibility Requirements
To qualify for "Generator Subsidy" under "Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives", applicants must satisfy the following conditions:
All Micro, Small, Medium, and Large industries qualify
All Micro, Small, Medium, and Large industries qualify.
Investment must have been made on or after…
Investment must have been made on or after 1st April 2017.
At least 60% of the unit's total workforce…
At least 60% of the unit's total workforce must be drawn from residents of the Union Territory of Puducherry, a ratio that must be sustained for the period stated in the affidavit.
The generator itself must have been bought on…
The generator itself must have been bought on or after 1st April 2017.
The industrial unit must not sell or otherwise…
The industrial unit must not sell or otherwise transfer its fixed assets, including plant and machinery, before 5 years have elapsed from the date of application or disbursement of the subsidy, whichever is later.
Where a new or existing unit makes further…
Where a new or existing unit makes further investment after its first subsidy claim, that additional investment also qualifies for subsidy, subject to the overall ceiling. Officials of the Industries Department will verify and confirm the commencement date declared by the entrepreneur. Special Cases When the same individual — whether as sole proprietor, or through common partners or a common Board of Directors/shareholders — sets up two or more industrial undertakings, each is treated as a separate entity for subsidy purposes, provided the units are located at different sites and each has obtained its own licenses, clearances, and registrations.
Benefits Provided
"Generator Subsidy" under "Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives" provides the following benefits to eligible applicants:
Subsidy rate:
50% of cost.
Applicable to:
Purchase and installation of generators bought on or after 1st April 2017.
Maximum limit:
₹5,00,000/- per industrial unit each year.
Payment installments:
Released either as a lump sum or in multiple installments, depending on fund availability.
Disbursement mode:
For units financed by a bank or financial institution, the subsidy is paid to that institution to adjust the loan, create additional fixed assets, or support working capital; self-financed units receive the subsidy directly. 'Financial institution' here covers PIPDIC, other Government corporations, and Scheduled Banks including Co-operative Banks.
Documents Required
Applicants should keep the following documents ready before starting the application:
Entrepreneurs Memorandum Part-2 (UAM/PMT) Registration or Commencement of…
Entrepreneurs Memorandum Part-2 (UAM/PMT) Registration or Commencement of Production Certificate
Loan Sanction Letter
Loan Sanction Letter
Purchase invoices for plant & machinery/pollution control equipment/generator
Purchase invoices for plant & machinery/pollution control equipment/generator
Chartered Accountant's certificate confirming the investment in fixed…
Chartered Accountant's certificate confirming the investment in fixed assets/pollution control equipment/generator
Month-wise statement of interest paid to the financing…
Month-wise statement of interest paid to the financing bank/institution, along with a no-dues certificate
List of employees enrolled under the Provident Fund…
List of employees enrolled under the Provident Fund scheme, with wage/salary payment details
Provident Fund remittance proof for the claim period
Provident Fund remittance proof for the claim period
Notarized affidavit The unit must submit production, employment,…
Notarized affidavit The unit must submit production, employment, and other particulars annually and whenever the Industries and Commerce Department requests them.
How to Apply
Offline Application
Applicants can apply for "Generator Subsidy" under "Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives" through the offline application process outlined below.
The unit must register its claim for the…
The unit must register its claim for the incentive/subsidy using the prescribed form on the official website of the Directorate of Industries and Commerce, Puducherry.
Every mandatory field in the form should be…
Every mandatory field in the form should be filled out, with self-attested copies of the required documents attached where necessary.
The signed, completed application and accompanying documents must…
The signed, completed application and accompanying documents must then be submitted to the concerned authority.
The applicant should collect a receipt or acknowledgment…
The applicant should collect a receipt or acknowledgment from the office where the form was submitted, confirming it shows the submission date, time, and a unique reference number where applicable. Post-Application Process
The Directorate of Industries examines each application on…
The Directorate of Industries examines each application on its merits to work out the eligible subsidy amount, which is then placed before the State Level Committee.
The State Level Committee reviews each case individually…
The State Level Committee reviews each case individually to determine whether the unit is entitled to the incentive/subsidy and recommends the amount payable. Application Deadline For New Units The claim must be filed within one year of obtaining the Entrepreneurs Memorandum Part-2, Permanent Registration, or Commencement of Production Certificate. For Existing Units The claim must be filed within one year of completing the expansion, diversification, or modernization.
Exclusions / Who Is Not Eligible
- A unit which has availed investment subsidy from Central Government/State Government or any other agency shall not be eligible to apply for subsidy for same investment again under this Scheme.
- Second-hand/used imported/indigenous machinery is not eligible.
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.