RIPS 2024 MSME Captive RE Duty Waiver
Department of Industries and Commerce, Government of Rajasthan · Central government
Rajasthan exempts MSMEs from electricity duty on captive renewable energy generation for seven 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
Under the MSME track of the Rajasthan Investment Promotion Scheme 2024 green incentives, an MSME that produces renewable energy for its own captive use receives a full exemption from electricity duty for seven years.
For a small unit that has installed rooftop solar or moved into a captive renewable arrangement, electricity duty is among the charges that do not fall away once grid power is given up. Exempting it for seven years lifts the return on that investment instead of on the grid bill.
This benefit falls within the green incentives category, where MSME benefits share a single ceiling and are paid out across ten years, and it is applied for through Rajasthan's single-window investment portal.
Who can apply
- Eligible business forms
- Not specified
- Udyam registration
- Not specified
- MSME registration
- Required
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Where the business may be based
- Rajasthan
- Unit must hold MSME registration and operate within Rajasthan - Renewable energy generated must serve the unit's own captive consumption - Exemption remains in force for 7 years - Green incentive benefits are subject to the shared ceiling for the MSME category and are paid out across 10 years
How to apply
1. File the application for the Rajasthan Investment Promotion Scheme 2024 through the state single-window portal at rajnivesh.rajasthan.gov.in. 2. Furnish the Udyam (MSME) registration along with particulars of the unit. 3. Submit the approvals for captive renewable generation together with the metering arrangement. 4. Deposit the entitlement certificate with the distribution licensee, so that duty is not charged on captive generation.
Frequently asked questions
How much duty is waived?
Captive renewable energy generation is entirely exempt from electricity duty, with 100% of the duty waived.
For how long?
Seven years.
Does it cover grid power?
No. The scheme covers only captive renewable energy generation.
Who can claim it?
The Rajasthan Investment Promotion Scheme 2024 is open to MSMEs.
Sectors
- Rajasthan
- Msme
- Green Incentives
- Renewable Energy
- Captive Generation
- Rips2024
Details last verified on 18 September 2026. Source: the issuer's published information.