Investment Promotion Scheme (IPS) for MSME Sector: Assistance For Saving In Consumption Of Energy And Water
By Department of Industries, UT Administration of Dadra and Nagar Haveli and Daman and Diu
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Quick Answer
This sub-scheme under the Investment Promotion Scheme provides financial assistance to MSMEs in Dadra & Nagar Haveli and Daman & Diu for initiatives aimed at saving energy and water consumption, covering audit and equipment costs up to ₹21 lakh.
- Funding amount
- Up to ₹21L
- Funding type
- Subsidy
- Application deadline
- Rolling
- Registrations needed
- Udyam registration
About this subsidy
The Investment Promotion Scheme (IPS) for the MSME Sector in Dadra & Nagar Haveli and Daman & Diu is a critical initiative launched by the Department of Industries. Its overarching goal is to foster a vibrant and resilient MSME ecosystem by offering incentives and support that shield businesses from market fluctuations, promote women's participation, reduce local unemployment, and encourage resident labor employment.
The "Assistance For Saving In Consumption Of Energy And Water" sub-scheme specifically targets environmental sustainability and operational efficiency within the MSME sector. It provides financial assistance to both new and existing manufacturing and service enterprises that implement measures to reduce their energy and water consumption. This scheme supports the adoption of more sustainable practices, helping businesses cut operational costs while contributing to broader environmental conservation efforts in the Union Territory. The assistance is disbursed upon verification through energy/water auditors, ensuring that investments in efficiency equipment are validated.
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
Provider
Department of Industries, UT Administration of Dadra and Nagar Haveli and Daman and DiuDadra and Nagar Haveli and Daman and Diu · India
Benefits & Funding
- Amount
- Up to ₹21L
What You Get
This scheme provides financial assistance through a reimbursement model, covering two key components for eligible MSME units:
- Reimbursement of 75% of the cost for energy/water audits conducted by recognized institutions/auditing authorities, subject to a maximum of ₹1,00,000.
- Reimbursement of 25% of the cost for equipment recommended by the auditing authority, subject to a maximum of ₹20,00,000 as a one-time assistance. This support helps businesses implement sustainable practices, reduce operational expenses, and enhance their environmental footprint without requiring equity or repayment.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Applications submitted through the Single Window Portal will first undergo a screening process to ensure completeness and adherence to all stated eligibility criteria, including location, operational period, and MSME status. Once the enterprise has implemented its energy and water saving project, a critical step involves obtaining and submitting a certificate from recognized energy/water auditors. This certificate must confirm the successful installation of equipment and measures as per the audit report. The disbursement of financial assistance is contingent upon this comprehensive verification process and final approval by the Department of Industries, U.T. Administration, confirming that all conditions for the subsidy have been met.
Application Process
- 1
Register on Portal
Create an account on the Single Window Portal by providing necessary details and verifying email.
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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
What is the primary objective of the Investment Promotion Scheme (IPS) for MSME Sector?
The IPS aims to provide comprehensive incentives and assistance to MSMEs to ensure their growth, protect them from market challenges, promote women's participation in business, and generate employment for local residents within Dadra & Nagar Haveli and Daman & Diu.
What specific assistance does the 'Assistance For Saving In Consumption Of Energy And Water' sub-scheme offer?
This sub-scheme provides financial assistance to eligible MSMEs for undertaking initiatives that reduce energy and water consumption. This includes reimbursement for the costs incurred on energy/water audits and the installation of recommended equipment.
What are the maximum reimbursement limits under this sub-scheme?
For energy/water audits, up to 75% of the cost is reimbursed, with a maximum cap of ₹1,00,000. For the installation of recommended equipment, up to 25% of the cost is reimbursed, with a maximum cap of ₹20,00,000. The total potential assistance can be up to ₹21 lakh.
What is the eligible operational period for units under this scheme?
Units must have commenced commercial production between May 20, 2022, and May 19, 2027. The projects for which assistance is sought must also be implemented and commenced within this operational period.
Is an audit certificate mandatory to receive assistance?
Yes, it is a crucial requirement. Assistance is disbursed only after the submission of a certificate from recognized Energy/Water auditors, confirming that the equipment has been installed as per their audit report and recommendations.
Sources
Data on this page is compiled from official program and provider references.
News
- Gujarat Announces Comprehensive MSME Assistance Scheme Under Industrial Policy 2026deshgujarat.com · 2 weeks ago
Source: Google News aggregated









