Andhra Pradesh Electricity Duty Reimbursement
By Department of Handlooms and Textiles, Government of Andhra Pradesh
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Quick Answer
50% reimbursement of electricity duty for 5 years for new industrial enterprises and expansion or diversification projects in Andhra Pradesh.
- Funding amount
- Varies
- Funding type
- Subsidy
- Application deadline
- Rolling
- Eligible stage
- Revenue
- Location
- Andhra Pradesh
About this subsidy
New industrial enterprises, and expansion or diversification projects, in Andhra Pradesh get 50% of their electricity duty cost reimbursed. It runs for five years from the Date of Commercial Production (DCP). It covers MSME, Sub Large and Large investment bands, subject to the other stipulated conditions. The scheme is part of the Andhra Pradesh Textile Policy 2024-29 (AP TAG 4.0) and is non-repayable.
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 Department of Handlooms & Textiles is the Government of Andhra Pradesh's department for the state's handloom and textile sector. It runs state and central schemes for handloom weavers, powerloom units and weavers' co-operative societies, and is based at Mangalagiri. Most of…
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What You Get
The program provides a direct 50% reimbursement of electricity duty cost. This substantial financial benefit helps industrial enterprises significantly reduce their operational expenses. The reimbursement is available for a continuous period of 5 years from the Date of Commercial Production (DCP), offering long-term support for both new establishments and existing units undertaking expansion or diversification. This non-repayable subsidy is designed to foster industrial growth and improve the economic viability of manufacturing units in Andhra Pradesh.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Applications are reviewed by the concerned government authorities to verify eligibility and ensure compliance with the AP Textile Policy 2024-29 (GO 55 Guidelines). The selection is based on meeting the stipulated conditions, rather than a competitive evaluation or pitch process.
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
Q: What is the Electricity Duty Reimbursement program?
A: This program, under the AP Textile Policy 2024-29, provides a 50% reimbursement of electricity duty costs to eligible industrial enterprises in Andhra Pradesh.
Q: Who is eligible for this reimbursement?
A: All eligible New Industrial Enterprises and Expansion/Diversification Projects across all investment bands (MSME, Sub Large, and Large) are eligible, subject to fulfilling all stipulated conditions.
Q: What is the duration of the reimbursement benefit?
A: The reimbursement is provided for a period of 5 years from the Date of Commercial Production (DCP) of the unit.
Q: What is the funding type for this program?
A: This is a subsidy, specifically a reimbursement for a portion of electricity duty costs. It is not a grant, loan, or equity investment.
Q: Is there a maximum amount that can be reimbursed?
A: The program specifies a 50% reimbursement of the *cost* of electricity duty, rather than a fixed maximum amount. The actual amount will depend on the enterprise's electricity consumption and duty incurred.
Q: What kind of support, other than financial, is provided?
A: This program primarily offers financial support in the form of electricity duty reimbursement. It does not explicitly mention structured mentorship, incubation, or networking support. However, by reducing operational costs, it indirectly supports the enterprise's sustainability and growth.
Q: Where can I find the official guidelines for this scheme?
A: The official guidelines are available in the 'textile policy 2024-29 - go 55 - guidelines.pdf' document, published by the Department of Industries and Commerce, Government of Andhra Pradesh.
Sources
Data on this page is compiled from official program and provider references.









