Scheme for Assistance to Micro, Small and Medium Enterprises (MSME): Assistance for Saving in Consumption of Energy and Water
Industries and Mines Department, Government of Gujarat · Central government
Gujarat's scheme reimburses audit costs and subsidises equipment for MSMEs adopting energy-efficient and water-saving practices.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- ₹50,000 – ₹20,50,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
About this scheme
The Industries and Mines Department, Gujarat, administers the "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)" as an umbrella initiative. It is valid from August 7th, 2020, to August 6th, 2025, and targets the state's MSME sector, which contributes to employment, GDP, and exports. The scheme aims to support entrepreneurs and improve the international competitiveness of Gujarat's MSMEs.
Under this scheme, the "Assistance for Saving in Consumption of Energy and Water" component supports both new and existing enterprises in lowering their energy and water usage. The initiative encourages industries to adopt sustainable practices by offering financial help to offset the costs of eco-friendly technologies. It reimburses expenses for energy and water audits conducted by recognised institutions and provides subsidies on equipment recommended in those audits. This approach enables businesses to identify inefficiencies and invest in upgrades, resulting in cost savings and a smaller environmental impact.
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
- Required
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Where the business may be based
- Gujarat
- Applicant must be an existing or new MSME enterprise. - Energy or water audit must be carried out by a recognised institution or consultant. - Enterprise must achieve at least 10% reduction in energy or water consumption post-implementation of audit recommendations. - Equipment installation must follow the auditing authority’s recommendations. - Enterprises showing increased consumption due to production growth are assessed on a case-by-case basis.
How to apply
The application for the Assistance for Saving in Consumption of Energy and Water scheme is handled fully online through the Gujarat government's Investor Facilitation Portal (IFP).
- **Step 1: New Investor Registration.** Go to https://ifp.gujarat.gov.in/DIGIGOV/ and select the "New Investor Registration" option. - **Step 2: Fill Registration Form.** Provide all required information in the registration form and submit it. - **Step 3: Email Verification.** Activate your email address by clicking the link sent to your registered email. - **Step 4: Successful Registration.** Once verification is complete, your account is created. - **Step 5: Login to Portal.** Return to the Investor Facilitation Portal (IFP) and choose "Login". - **Step 6: Enter Credentials.** Type in your registered email address and password. - **Step 7: Access Account.** Click "Login" to reach your application dashboard. - **Step 8: Complete Application.** Enter all relevant business information and upload any required documents as directed to finish your application submission.
How applications are assessed
Applications filed via the Investor Facilitation Portal are reviewed by the Industries and Mines Department, Gujarat. The department checks eligibility, which includes completion of an energy/water audit by a recognised institution, the proposed equipment installation, and a commitment to reduce consumption by at least 10%. Additional verification of audit reports and implementation plans may be carried out for enterprises.
Approval and release of funds depend on compliance with scheme guidelines and confirmation of the savings reported.
Frequently asked questions
What is the primary objective of this scheme?
The scheme provides financial assistance to Gujarat’s MSMEs to improve energy and water efficiency, enabling them to lower consumption and enhance global competitiveness.
Who is eligible to apply for this assistance?
Existing and new MSME enterprises in Gujarat may apply if they satisfy the criteria concerning audits and consumption reduction.
What are the financial benefits offered?
The scheme reimburses 75% of energy or water audit expenses, capped at ₹50,000, and provides a 25% subsidy on the cost of recommended equipment, up to ₹20 lakh.
Is there a minimum reduction in consumption required?
Yes, enterprises must achieve a minimum 10% reduction in energy or water consumption after implementing the audit recommendations to qualify for the benefits.
How do I apply for the scheme?
Applications are submitted online via the Gujarat government's Investor Facilitation Portal (IFP). After registering and logging in, you must fill in your business details and upload the required documents.
Is this scheme limited to specific industries?
Yes, the scheme is open to all MSMEs in Gujarat, across various sectors, that are committed to improving their energy and water efficiency.
Sectors
- Msme
- Gujarat Government
- Energy Efficiency
- Water Conservation
- Sustainability
- Audit Reimbursement
Details last verified on 3 August 2026. Source: the issuer's published information.