Sarkari Yojana
Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty
About Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty
The “Waiver of Electricity Duty” is a sub scheme of the “Incentive Scheme for MSMEs in Powerloom Sector”, put in place on 1st January, 2022, by the Department of Micro, Small & Medium Enterprises and Textiles, Government of West Bengal, and in effect upto 31st December, 2024. > Objective of the “Incentive Scheme for MSMEs in Powerloom Sector”:
The main Scheme encourages textile-sector MSMEs to install New age shuttleless Powerlooms by offering fiscal incentives, so that more improved quality fabrics are made. It is also designed to foster a sustainable textile MSME ecosystem that maximises resource use, generates new jobs and widens operations, making the State the leader of the country’s Powerloom sector. > Objective of the “Waiver of Electricity Duty” Sub-scheme:
For 5 years from the start of commercial production, an eligible micro, small or medium Powerloom enterprise is reimbursed the electricity duty on power used for manufacturing under its approved project.
Scheme Overview
State Government
Business Entity
01 Jan 2022
Scheme Details
Eligibility Requirements
To qualify for Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty, applicants must satisfy the following conditions:
Every micro, small, and medium enterprise (MSME) in…
Every micro, small, and medium enterprise (MSME) in the powerloom sector is, in general, within the Scheme's scope.
Production must have started during the period 01.01.2022…
Production must have started during the period 01.01.2022 to 31.12.2024.
The enterprise must have signed a Four-party agreement…
The enterprise must have signed a Four-party agreement with the Directorate of Textiles, a Financial institution and Tantuja.
Units may belong to the private, cooperative or…
Units may belong to the private, cooperative or joint sector, or be companies/undertakings owned and managed by the State Government, or Industrial SHGs.
The project requires a detailed feasibility report/project prepared…
The project requires a detailed feasibility report/project prepared for the purpose.
Approval and sanction of the project by a…
Approval and sanction of the project by a Central Financial Institution or Commercial Banks or State Financial Institutions is a must.
Benefits Provided
Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty provides the following benefits to eligible applicants:
Micro & Small Enterprise:
Zone A & B:
Half (50%) of the duty on electricity consumption is waived for 5 years, capped at ₹10,00,000/- per year.
Zone C, D & E:
For 5 years, 75% of the duty on electricity consumption is waived, up to ₹10,00,000/- per year. Medium Enterprise:
Zone B & C:
The entire (100%) duty on electricity consumption is waived for 5 years, with a cap of ₹25,00,000/- per year.
Zone D & E:
Duty on electricity consumption is waived at 100% for 5 years, and then at 75% from the 6th year up to 10th year after commercial production begins, up to a maximum of ₹50,00,000/- per year.
Documents Required
Applicants should keep the following documents ready before starting the application:
The Eligibility cum Registration certificate (copy)
The Eligibility cum Registration certificate (copy).
Udyam Registration copy
Udyam Registration copy.
Papers relating to the unit's electricity supply
Papers relating to the unit's electricity supply.
All relevant electricity bills (copies)
All relevant electricity bills (copies).
Other documents, if needed
Other documents, if needed.
SC/ST Certificate copy (where applicable)
SC/ST Certificate copy (where applicable).
2022-01-01
How to Apply
Offline Application
Applicants can apply for Incentive Scheme for MSMEs in Powerloom Sector: Waiver of Electricity Duty through the offline application process outlined below.
Application Process
The Powerloom micro, small or medium enterprise has to apply to the Directorate of Electricity Duty in the prescribed FORM-C, enclosing all relevant documents. Time frame for submission of first Application: The first application must reach within 12 months of the commercial production start (01.01.2022 to 31.12.2024). Address: DIRECTOR OF ELECTRICITY DUTY, DIRECTORATE OF COMMERCIAL TAXES, Annex Building - III, 6th & 7th Floor Commercial Tax Building Complex,14,Beliaghata Road, Kolkata-700015. Phone: 033-22510106 Help Desk: 033 2251 0190, dedwbhelpdesk@gmail.com
Exclusions / Who Is Not Eligible
- Enterprises registered and for which eligibility certificates have been issued/ incentives have been sanctioned and/ or disbursed under the respective Incentive Scheme of the State.
- Enterprises registered and for which eligibility certificate have been issued in terms of the respective Incentive Scheme of the State but no sanction or disbursement of incentive has been made.
- Enterprises commenced production before 31.12.2021 and applied for incentive under the respective Incentive Scheme of the State within the stipulated date (The claim will be governed by the respective Incentive Scheme of the State).
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.