MySubsidy

Subsidy to Pollution Control Equipment under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Capital Intensive Industries

Industries and Commerce Department, Government of Puducherry · Central government

Puducherry's Industries and Commerce Department funds industrial units with a 25% subsidy, up to ₹5 lakh, for pollution control equipment.

Open, rolling. Applications are accepted continuously — there is no deadline.

Key facts

Subsidy amount
Up to ₹5,00,000
Instrument
Subsidy
Deadline
Rolling
Disbursement
Released against milestones

About this scheme

The Industries and Commerce Department, Union Territory of Puducherry, launched this scheme on 1 April 2017. Its purpose is to encourage industrial units to take up environmentally friendly practices, and it applies throughout the Union Territory of Puducherry.

Financial assistance is offered to new and existing industries that put money into pollution control equipment. The scheme thereby supports sustainable industrial growth and compliance with environmental regulations.

A subsidy of significant size is available to offset the capital expenditure incurred in installing such equipment. This makes it easier for units to meet environmental standards and to contribute to a cleaner environment.

Both self-financed units and those borrowing from financial institutions can apply, so the scheme has wide applicability.

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
Puducherry

- Pollution control equipment must be installed as specified by the Pondicherry Pollution Control Committee. - Assistance is calculated on expenditure incurred and eligible assets created for the installation of pollution control equipment. - Industrial units must maintain at least 60% employment for Puducherry residents out of total employment strength, sustained for 5 years. - Fixed assets, including plant and machinery, must not be transferred or disposed of for 5 years from application or disbursement. - Additional investments by new or existing units after availing the first claim are eligible for subsidy up to the ceiling limit. - New industries are units that commenced commercial production on or after April 1, 2017. - Existing units are those that commenced production before April 1, 2017. - Multiple undertakings by the same person or partners qualify as separate entities where locations and registrations are distinct.

How to apply

- **Step 1:** Download the prescribed application form from the official website of the Directorate of Industries and Commerce, Puducherry. - **Step 2:** Complete every mandatory field in the form and enclose self-attested copies of all documents that are required. - **Step 3:** Hand over the filled-in and signed application form, together with all supporting documents, to the concerned authority. - **Step 4:** Ask for and collect a receipt or acknowledgement from the authority at the time of submission. Check that the receipt carries the submission date, time, and any unique identification number. - **Post-Application Process:** The Directorate of Industries will scrutinise applications on merit to decide the quantum of amount admissible, and the findings will be placed before the State Level Committee for review and recommendation.

Apply on the issuer's site

How applications are assessed

The Directorate of Industries screens each application on its merits, establishing whether the unit is eligible and how much assistance it may receive. This first-stage review also confirms that the paperwork is complete and that the criteria have been satisfied.

The Directorate's findings and recommendations then go before the State Level Committee. That committee examines every case in detail, weighing its merits and its conformity with the scheme's guidelines, before deciding whether the unit should receive the incentive or subsidy and recommending the exact sum to be granted.

Frequently asked questions

What is the maximum subsidy amount available?

What is the maximum subsidy available under the scheme? The scheme provides a subsidy of up to ₹5,00,000 (Five Lakhs Indian Rupees) towards eligible pollution control equipment.

What percentage of the equipment cost is subsidized?

Units that qualify can claim 25% of what they spend on pollution control equipment, subject to the maximum limit.

Who is eligible to apply for this subsidy?

New and existing industrial units in Puducherry can apply, as long as they install the required pollution control equipment, ensure that 60% of their employees are residents of the Union Territory, and satisfy the remaining conditions on asset retention and investment.

How is the subsidy disbursed?

The subsidy is paid in one or more instalments: units financed by a bank or financial institution usually receive it through that lender, while self-financed units are paid directly.

What is considered a 'new industry' for this scheme?

Units that began commercial production on or after April 1, 2017 are treated as new industries, while those that started production before that date count as existing units.

Is there a deadline to apply?

New units have one year from the date they obtain their Entrepreneurs Memorandum Part-2, Permanent Registration or Commencement of Production Certificate to apply, while existing units must apply within one year of completing expansion, diversification or modernisation.

Sectors

  • Pollution Control
  • Puducherry
  • Manufacturing
  • Environment
  • Industrial Subsidy

Details last verified on 18 September 2026. Source: the issuer's published information.