Promotion of Energy Audit and Conservation of Energy (PEACE): Detailed Energy Audit
By Micro Small and Medium Enterprises Department, Government of Tamil Nadu
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Quick Answer
A scheme by the Government of Tamil Nadu offering a subsidy of up to ₹1 lakh for existing manufacturing MSMEs to conduct their first or subsequent detailed energy audits.
- Funding amount
- Up to ₹1L
- Funding type
- Subsidy
- Application deadline
- Rolling
- Location
- Tamil Nadu
- Registrations needed
- Udyam registration
About this subsidy
"Promotion of Energy Audit and Conservation of Energy (PEACE)" is a scheme by the Micro Small and Medium Enterprises Department, Government of Tamil Nadu. The "Detailed Energy Audit" component aims to identify major energy sources, lapses in usage, areas for improvement, and consumption levels within manufacturing MSMEs. This initiative helps enterprises optimize their energy consumption, leading to cost savings and improved environmental sustainability. The scheme is crucial for MSMEs looking to enhance operational efficiency and comply with energy conservation standards by providing financial support for expert energy audit services. By encouraging regular energy assessments, the government aims to foster a culture of energy efficiency and reduce the carbon footprint of industrial operations across the state.
Eligibility
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Subsidy providers
Provider
Micro Small and Medium Enterprises Department, Government of Tamil NaduChennai · Tamil Nadu · India
Tamil Nadu's Micro, Small and Medium Enterprises Department runs state subsidy, loan and incentive schemes for micro, small and medium enterprises and for people who want to start one. The department's pages do not always agree on the details, so confirm the terms of any scheme…
Learn moreBenefits & Funding
- Amount
- Up to ₹1L
What You Get
The scheme offers a substantial subsidy covering 75% of the energy audit cost, up to a maximum of ₹1,00,000 per audit. This financial support helps manufacturing MSMEs identify and address energy inefficiencies, leading to significant operational cost savings and improved sustainability. The subsidy is released upon completion and certification of the Energy Audit Report, either directly to the MSME or to their bank if a loan was taken for the audit. This incentivizes businesses to proactively adopt energy conservation measures without a heavy upfront financial burden, contributing to a greener industrial landscape in Tamil Nadu.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
The selection process for subsidy disbursement under the PEACE scheme is contingent upon the successful completion and certification of a Detailed Energy Audit. Applicants must engage a Bureau of Energy Efficiency (BEE) empanelled energy auditing firm or an accredited individual Energy Auditor. Following the audit, a comprehensive report is generated, which must contain specific recommendations, quantitative and qualitative details, estimated outlay, projections of energy/cost savings, and payback period upon implementation. This report, once duly certified by the energy auditor, is submitted to the MSME Department for verification and approval. Upon satisfactory review of the certified report, the eligible subsidy amount is processed and released to the MSME or their designated bank account.
Application Process
- 1
Register
Applicant creates an account on the MSME TN portal.
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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 purpose of the Detailed Energy Audit component of the PEACE scheme?
The "Detailed Energy Audit" component aims to identify major sources of energy in use, pinpoint lapses in energy usage, determine areas for improving energy efficiency, and assess the level of consumption of energy sources within MSMEs. This helps businesses optimize their energy consumption and reduce operational costs.
Who is eligible for the subsidy under the PEACE scheme for energy audits?
All existing manufacturing MSMEs in Tamil Nadu undertaking energy audits for the first time are eligible. MSMEs taking up subsequent energy audits after a minimum gap of three years are also eligible. Enterprises with more than one unit can avail the concession separately for each unit.
What is the maximum subsidy amount I can receive?
The scheme provides a subsidy of up to ₹1,00,000 (One Lakh Rupees) per energy audit, covering 75% of the total audit cost, whichever is less. This ensures significant financial relief for participating MSMEs.
How is the subsidy disbursed?
The subsidy will be released to the MSME after the completion of the Energy Audit Report, which must be duly certified by a Bureau of Energy Efficiency (BEE) accredited energy auditor. If the unit availed a loan for the energy audit, the subsidy may be released directly to the bank to adjust against the outstanding loan account.
Are there any restrictions on who can conduct the energy audit for eligible MSMEs?
Yes, only Bureau of Energy Efficiency (BEE) empanelled energy auditing firms/companies (with auditing teams led by BEE-accredited Energy Auditors) or BEE-accredited individual Energy Auditors alone are to be engaged to ensure quality and compliance of the audit process.
What should the Energy Audit Final Report contain?
The report must contain specific recommendations along with quantitative and qualitative details, estimated outlay, projections of energy/cost savings, and payback period upon implementation. It should also include an executive summary, the period of conduct of the audit, and clear conclusions and recommendations for energy conservation measures.
Sources
Data on this page is compiled from official program and provider references.
