MySubsidy

Andhra Pradesh Electricity Duty Reimbursement

Department of Handlooms and Textiles, Government of Andhra Pradesh · Central government

Andhra Pradesh reimburses half the electricity duty for eligible new industrial and expansion projects over five years.

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

Andhra Pradesh Textile Policy 2024-29 (AP TAG 4.0) includes an incentive for industrial enterprises within the state. Its purpose is to assist the manufacturing and industrial sectors by reducing operational costs.

New industrial enterprises, along with those carrying out expansion or diversification projects, can receive reimbursement of 50% of electricity duty expenses. This applies to businesses across the MSME and large industry segments, lowering their overheads and thereby improving competitiveness and supporting industrial development in Andhra Pradesh.

Reimbursement runs for five years from the Date of Commercial Production (DCP), providing beneficiaries with financial relief over that period.

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
Andhra Pradesh

- Eligible New Industrial Enterprises may apply. - Expansion and diversification projects are covered. - Available across the MSME, Sub Large and Large investment bands. - All other stipulated conditions must be fulfilled.

How to apply

- Enterprises that qualify must file their application for electricity duty reimbursement via the portal or department designated by the Government of Andhra Pradesh. - Documents establishing eligibility generally need to be submitted as part of the application — incorporation certificates, MSME/Udyam registration (where applicable), particulars of commercial production, and electricity bills. - The authorities concerned will scrutinise applications to confirm that the conditions laid down in the AP Textile Policy 2024-29 (GO 55 Guidelines) have been met. - Once verification and approval are complete, the reimbursement is processed and paid out to the qualifying industrial enterprise. - Applicants would do well to consult the official guidelines document, which sets out the application procedure step by step along with the annexures required.

Apply on the issuer's site

How applications are assessed

The relevant government authorities examine each application to confirm that the applicant qualifies and meets the conditions laid down under the AP Textile Policy 2024-29 (GO 55 Guidelines). Selection therefore rests on satisfying the stipulated criteria; it is not a competitive evaluation or a pitch-based process.

Frequently asked questions

Q: What is the Electricity Duty Reimbursement program?

Under the AP Textile Policy 2024-29, eligible industrial enterprises in Andhra Pradesh can claim reimbursement of 50% of their electricity duty costs.

Q: Who is eligible for this reimbursement?

All New Industrial Enterprises and Expansion/Diversification Projects qualify, regardless of investment band (MSME, Sub Large or Large), provided they meet every stipulated condition.

Q: What is the duration of the reimbursement benefit?

Reimbursement is available for five years, counted from the unit's Date of Commercial Production (DCP).

Q: What is the funding type for this program?

It is a subsidy, paid as a reimbursement covering part of your electricity duty costs. It is neither a grant, nor a loan, nor an equity investment.

Q: Is there a maximum amount that can be reimbursed?

The scheme reimburses 50% of the electricity duty cost incurred, not a fixed sum. The amount an enterprise receives therefore depends on its electricity consumption and the duty paid.

Q: What kind of support, other than financial, is provided?

The programme's support is financial: it reimburses electricity duty. Structured mentorship, incubation or networking are not part of it, though lower operational costs may indirectly aid an enterprise's sustainability and growth.

Q: Where can I find the official guidelines for this scheme?

The Department of Industries and Commerce, Government of Andhra Pradesh, sets out the official guidelines in the document 'textile policy 2024-29 - go 55 - guidelines.pdf'.

Sectors

  • Manufacturing Industrial
  • Electricity Subsidy
  • Industrial Incentives
  • Andhra Pradesh
  • Msme Support
  • Manufacturing

Details last verified on 16 September 2026. Source: the issuer's published information.