Electricity Duty Exemption (UP Textile)
By Government of Uttar Pradesh
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Quick Answer
New textile and garmenting units in Uttar Pradesh get a 10-year electricity duty exemption on power from Captive Power Plants used for self-consumption.
- Funding amount
- Varies
- Funding type
- Subsidy
- Provider
- Government of Uttar Pradesh
- Application deadline
- Rolling
- Location
- Uttar Pradesh
About this subsidy
New textile and garmenting units in Uttar Pradesh are exempt from electricity duty for 10 years on electricity they produce from Captive Power Plants and use themselves. The exemption comes under the UP Textile and Garmenting Policy 2022.
It lowers the running costs of new manufacturing units. It applies only to electricity generated by Captive Power Plants owned by the unit and used in its own operations. The unit must be established in Uttar Pradesh.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
The Government of Uttar Pradesh supports startups and businesses through a set of state policies, each run by a different department. This page covers the startup policy, which gives grants, reimbursements and free incubation to early startups, and the MSME, IT, food processing,…
Learn moreBenefits & Funding
What You Get
The program offers a crucial exemption from electricity duty for a period of 10 years. This benefit applies specifically to electricity generated by Captive Power Plants owned by new textile and garmenting units and consumed for their own operations. This exemption directly contributes to reducing the operational expenditure of these manufacturing units, making them more competitive and sustainable in the long run. By supporting the adoption of captive power, the scheme also promotes energy efficiency and self-sufficiency within the industrial sector.
- Disbursement
- Reimbursement
- Duration
- 122 months
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Applications for the Electricity Duty Exemption will undergo a rigorous verification process by the relevant state department. The primary focus of the assessment will be to ensure that the applicant unit meets all specified eligibility criteria, including being a 'new' textile and garmenting unit, operating a Captive Power Plant, and confirming that the electricity generated is solely for self-consumption within the unit. The review committee will evaluate submitted documents and may conduct site visits if necessary to validate the claims made by the applicant. Final approval will be granted based on adherence to the terms and conditions outlined in the UP Textile and Garmenting Policy 2022.
Application Process
- 1
Apply for Exemption
Submit the application with all necessary documents to the relevant state department as per the policy guidelines.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
Who is eligible for this exemption?
New textile and garmenting units that produce electricity from Captive Power Plants for self-consumption in Uttar Pradesh are eligible.
What benefit does this program offer?
Eligible units receive an exemption from electricity duty for 10 years on electricity generated by their Captive Power Plants for self-consumption.
Is this a cash grant?
No, this is an exemption from a duty, which reduces operational costs but is not a direct cash grant.
How long is the exemption valid?
The exemption is valid for a period of 10 years from the date of commencement of production by the new unit, as specified in the policy.
Where can I find the official policy document?
The official policy document, 'UP Textile and Garmenting Policy 2022', is available on the Invest UP website, details of which are provided under program documents.
Sources
Data on this page is compiled from official program and provider references.
