Chhattisgarh Royalty Reimbursement Scheme
Department of Industries, Government of Chhattisgarh · Central government
Chhattisgarh reimburses large steel enterprises in Bastar and Surguja 50% of iron ore royalty and 100% of coal cess.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- Not specified
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
About this scheme
The Chhattisgarh Royalty Reimbursement Scheme operates as an incentive under the state's Package for Large Enterprises in the Core (Steel) Sector. It applies to large steel manufacturing units located in the underdeveloped regions of Bastar and Surguja, and is intended to support industrial growth and improve the competitiveness of such units.
Under the scheme, financial relief is provided on raw material costs. This is meant to encourage investment, expand production capacities and support the long-term sustainability of the steel industry in these areas.
The policy recognises that raw material accessibility and cost efficiency matter to industrial development, and accordingly offers a strategic advantage to enterprises operating in specific geographies of Chhattisgarh. By offsetting operational expenses through this reimbursement, the state positions itself as a destination for large-scale steel investment and employment generation.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership, One person company, Partnership firm, Sole proprietorship
- Udyam registration
- Not specified
- MSME registration
- Not specified
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Where the business may be based
- Chhattisgarh
- The applicant must be a large enterprise engaged in the steel sector. - Operations must be situated in the Bastar and Surguja regions of Chhattisgarh. - Benefit periods of 10 or 15 years from the date of commercial production apply, as determined by the enterprise category (Group 1, 2, or 3).
How to apply
Applications under the Royalty Reimbursement Scheme are handled in line with the procedures set out in the parent policy document, the "Package for Large Enterprises in Core (Steel) Sector". Broadly, the process runs as follows:
- **Submission of application**: A formal application has to be filed by the enterprise with the designated state authority, in all likelihood the Department of Industries, Chhattisgarh. - **Documents to be furnished**: The papers ordinarily required are proof of enterprise registration; evidence that the unit is classified as a 'large enterprise' and falls within the steel sector; particulars of its location in Bastar or Surguja; records showing the date of commencement of commercial production; and itemised receipts for royalty paid on iron ore and cess paid on coal. - **Verification**: The state authorities scrutinise the application and the accompanying documents in detail, both to establish eligibility and to check that the claims made are accurate. - **Approval and disbursement**: Once verification is completed satisfactorily and approval is granted, the reimbursement amount due is paid out to the enterprise.
How applications are assessed
Selection under this reimbursement scheme rests on whether an applicant satisfies the eligibility criteria set out in the state policy. A committee or designated officers from the concerned state department, for instance the Department of Industries, examine each application and verify every document submitted — company registration, operational location, commercial production date, and proof of royalty and cess payments — against the "Package for Large Enterprises in Core (Steel) Sector" policy.
No competitive rounds or pitch presentations form part of the process. Assessment is compliance-based, carried out solely to establish whether the applicant qualifies for the statutory incentive.
Frequently asked questions
What is the primary benefit of the Royalty Reimbursement Scheme?
The scheme reimburses 50% of iron ore royalty paid to the state government and 100% of the coal cess received by the state, thereby lowering raw material costs for eligible steel enterprises.
Which types of enterprises are eligible for this scheme?
Only large enterprises in Chhattisgarh's steel sector may apply; the full policy document sets out what qualifies as a 'large enterprise'.
What are the geographical restrictions for this scheme?
This royalty and cess reimbursement is available only to large steel enterprises operating in Chhattisgarh's Bastar and Surguja regions.
How long can an eligible enterprise receive these benefits?
How long the benefit lasts depends on the enterprise's category: 10 years for Group 1 (excluding the Bilha and Dharsiva development blocks) and Group 2, and 15 years for Group 3, counted from the date of commercial production.
Is there a specific application deadline for this scheme?
No application deadline is specified, so the benefit remains open to enterprises that satisfy the criteria set out in the full policy document.
What is the process to claim the royalty and cess reimbursement?
Eligible enterprises generally apply to the relevant state department, such as the Department of Industries, attaching documentary proof of royalty and cess payments, the date of commercial production, and the enterprise category. The application is then verified before any reimbursement is released.
Sectors
- Manufacturing Industrial
- Steel Sector
- Chhattisgarh
- Royalty
- Cess
- Reimbursement
- Large Enterprises
- Industrial Policy
Details last verified on 16 September 2026. Source: the issuer's published information.