HP Govt ETP Power Tariff Reimbursement Scheme
Department of Industries, Government of Himachal Pradesh (Startup Himachal) · Central government
Himachal Pradesh reimburses MSMEs 50% of ETP power tariff, up to INR 1 lakh yearly for 3 years.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- ₹0 – ₹1,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
- Scheme duration
- 3 years
About this scheme
The Reimbursement of Power Tariff for running Effluent Treatment Plant (ETP) scheme forms a component of the Himachal Pradesh Industrial Investment Policy 2019. Its purpose is twofold: to strengthen the financial position of Micro, Small, and Medium Enterprises (MSMEs) and to support environmental sustainability.
Running an ETP carries substantial operating costs, and this incentive addresses them directly by providing a subsidy on the electricity consumed by such plants. The scheme therefore eases the expense of meeting environmental compliance requirements.
By lowering the power tariff burden, the government aims to prompt MSMEs to invest in pollution control infrastructure and to run it efficiently, which in turn reduces the environmental footprint of industry.
The scheme is designed so that enterprises can remain economically viable while still meeting their ecological obligations, contributing to a cleaner and greener industrial landscape across the state.
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
- Himachal Pradesh
- MSMEs are eligible. - An Effluent Treatment Plant (ETP) must be in operation.
How to apply
1. Consult the Industrial Investment Policy 2019 of Himachal Pradesh for its full application guidelines. 2. Assemble the required documents, which include MSME registration and evidence of power tariff payments made for the ETP. 3. Lodge the claim application with the authority named in the policy — in all likelihood the Department of Industries or another nodal agency concerned. 4. The application undergoes processing and verification prior to release of the reimbursement.
How applications are assessed
Claims for reimbursement are assessed against the eligibility conditions and the supporting papers filed, which must include evidence that the effluent treatment plant is in operation along with receipts for power tariff payments. Before any reimbursement is sanctioned, the department or authority concerned examines the claim to confirm it aligns with the Industrial Investment Policy 2019.
Frequently asked questions
What is the benefit provided by this scheme?
The scheme reimburses 50% of the power tariff incurred on running Effluent Treatment Plants (ETPs), which lowers operating costs for eligible MSMEs.
What is the maximum amount I can claim per year?
Under this scheme, you can claim a maximum of INR 1 lakh each year, a cap that helps distribute the benefits fairly across beneficiaries.
For how many years can I avail this reimbursement?
Reimbursement runs for three uninterrupted years starting from the approval date, offering financial relief over that period.
Who is eligible for this scheme?
MSMEs operating in Himachal Pradesh qualify if they have an Effluent Treatment Plant installed and in active use.
Is this a loan or a grant?
The scheme reimburses costs already incurred in running ETPs, so the amount is a subsidy rather than a loan and does not have to be repaid. It operates as a direct financial incentive.
How does this scheme support environmental compliance?
The scheme reimburses a substantial share of the electricity charges incurred in running ETPs, which encourages MSMEs both to install these plants and to keep them properly maintained and operated, leading to improved environmental management and pollution control.
What documents are typically required for the application?
You will typically need to submit proof of MSME registration, electricity bills and payment receipts, and records detailing the power consumed by the ETP, together with any other documents required under the Industrial Investment Policy 2019.
How long does the application process usually take?
No fixed timeline is stated, but reimbursement claims are generally settled over several weeks, since the time taken depends on how complete the application is and how many claims are being processed at that point.
Sectors
- Msme
- Himachal Pradesh
- Etp
- Power Tariff
- Environmental Compliance
Details last verified on 18 September 2026. Source: the issuer's published information.