Uttar Pradesh

Power Tariff Subsidy UP Textile Policy

Government of Uttar Pradesh

About This Scheme

Units in PM MITRA Park can claim an electricity tariff subsidy of INR 2.00/kWh, up to INR 60 lakh annually for 5 years.

The Power Tariff Subsidy, an integral part of the UP Textile and Garmenting Policy 2022, is designed to significantly boost the textile and garmenting manufacturing sector within Uttar Pradesh, particularly focusing on units established in the strategically important PM MITRA Park scheme. This initiative aims to alleviate a major operational cost for businesses: electricity expenses. By providing a direct subsidy on power tariffs, the policy seeks to enhance the financial viability and global competitiveness of these manufacturing units. It encourages further investment, job creation, and technological advancement in the state's textile industry, aligning with the government's broader vision for industrial development and economic prosperity. The program specifically targets commercial production units that contribute substantially to local employment, fostering a robust and sustainable industrial ecosystem.

Benefits

Eligible units will receive a substantial power tariff subsidy of INR 2.00 per billed unit (Kwh) for a continuous period of 5 years, calculated from their date of commencement of commercial production.
This financial relief is strategically capped at a maximum of INR 60 Lakh per annum per individual unit, translating to a potential total benefit of INR 3 Crore over the five-year program duration.
This significant direct subsidy plays a crucial role in lowering the recurring operational costs associated with electricity consumption for textile and garmenting units, thereby improving their profit margins and overall economic resilience.
Beyond the direct financial injection, participation in this government-backed incentive provides regulatory certainty and demonstrates governmental support for the industry, which can aid in long-term business planning and investment attraction.

How to Apply

Rolling basis

Quick Info

Amount / Funding

Up to ₹3 Cr

State / Region

Uttar Pradesh

Ministry / Dept

Government of Uttar Pradesh