AP Textile Power Reimbursement

Under the Andhra Pradesh Textile Policy 2024-29, the Reimbursement of Power Cost (Special Category) scheme provides a subsidy on electricity consumption to textile units in the state. The scheme is intended to support growth, expansion and diversification in the textile sector by lowering power costs, and to improve the competitiveness and sustainability of textile manufacturing in Andhra Pradesh, drawing both new entrants and existing units to invest and expand.

Eligibility is limited to enterprises led by women or proprietors belonging to Backward Classes (BC), Scheduled Castes (SC), Scheduled Tribes (ST), minorities, transgender individuals, and specially abled categories.

The support is aimed at reducing overheads, improving profitability and generating employment in a key manufacturing sector of the state, in line with its economic development and social equity objectives.

Applications for the Reimbursement of Power Cost (Special Category) incentive are generally made by filing a formal application with the Andhra Pradesh Industries Department, usually via a nominated online portal or nodal agency. The proposal an applicant prepares should set out the particulars of the enterprise in detail: its registration details, its categorisation (Micro, Small, Medium, Sub-Large or Large), and evidence that it is led by a proprietor belonging to an eligible special category or by a woman. Documents that may be required include incorporation certificates, Udyam registration, power consumption records, financial statements, and caste or community certificates or disability certificates, whichever apply. Review of the application checks conformity with the Textile Policy 2024-29 guidelines and confirms that every eligibility criterion is satisfied. Once the application is submitted, the department verifies the information provided, after which the subsidy is sanctioned and disbursed.

The Andhra Pradesh Industries Department, or a committee it designates under the Textile Policy 2024-29, screens applications for the power cost reimbursement incentive. Verification centres on the enterprise's eligibility — its classification (Micro, Small, Medium and so on), the proprietor's category (women, BC, SC, ST, Minorities, Transgender or specially abled), and whether the unit is new, expanding or diversifying within the textile sector. Power consumption records and evidence of compliance with state regulations are also examined in detail.

Rather than a competitive selection, the exercise amounts to a strict compliance check against the policy's stated criteria, on which entitlement to the subsidy turns. The aim is to direct the benefit to the intended beneficiaries — those actively contributing to the development of the state's textile industry.