Industries and Mines Department, Government of Gujarat
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Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy

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A Gujarat government subsidy that reimburses 75% of an MSME's energy or water audit cost up to ₹50,000, and funds 25% of the recommended saving equipment up to ₹20,00,000.

Funding amount
₹20L (subsidy)
Funding type
Subsidy
Provider
Industries and Mines Department, Government of Gujarat (Government)
Application deadline
Rolling
Eligible stage
Any stage
Location
Open to startups registered in India

Overview

Industries and Mines Department, Government of Gujarat runs this subsidy as one component of its wider Aatmanirbhar Gujarat package for small businesses. It is built for units that want to bring down the electricity and water they draw, and it pays for two things in sequence: the professional study that identifies where savings can be made, and the equipment that the study recommends.

There is no batch or cohort system here. The scheme stays open on a rolling basis for the period from 5 October 2022 to 4 October 2027, so a unit can apply whenever its audit is ready.

MSMEs account for a big slice of Gujarat's employment, manufacturing output and exports, and utility bills form a significant part of their running costs. Funding efficiency upgrades therefore serves two goals at once — it trims operating expenses for the business and supports the state's self-reliance agenda under Aatmanirbhar Gujarat and Aatmanirbhar Bharat. Support is delivered as a cash subsidy, with facilitation and regulatory help available alongside it.

Highlights

  • Up to ₹20,00,000 towards energy and water-saving equipment
  • 75% of audit costs reimbursed, capped at ₹50,000
  • Rolling applications — scheme runs from 5 October 2022 to 4 October 2027
  • Equipment support needs a verified saving of at least 10% in energy or water use
  • For Gujarat-based service-sector MSMEs registered with MSME or DPIIT
  • No pitch round — approval rests on meeting the guidelines

Who can apply

The scheme is open to Micro, Small and Medium Enterprises that work in the services sector and are based in Gujarat.

  • The unit must hold a registration or acknowledgment certificate issued either by the Ministry of MSME or by the Department for Promotion of Industry and Internal Trade (DPIIT).
  • For the audit reimbursement, the energy or water audit must have been carried out by a recognised institution or consultant.
  • For the equipment subsidy, the audit findings have to establish a saving of 10% or more in energy or water usage.

Both halves of the scheme follow the same logic: the audit comes first, and support for hardware follows only where the assessment justifies it.

Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy is open to startups at any stage. It is open to startups registered anywhere in India.

Eligible stage
Any stage
Location
Open to startups registered in India

Deadline & timing

Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

What the funding covers

There are two separate benefits, and an eligible enterprise can claim both.

  • Audit reimbursement: 75% of what was paid for an energy or water audit, capped at ₹50,000. This offsets the professional fee charged by a recognised institution or consultant for carrying out the study.
  • Equipment subsidy: 25% of the cost of the recommended equipment, capped at ₹20,00,000. This is the larger benefit and is designed to absorb a meaningful part of the upfront capital a unit would otherwise have to arrange on its own.

The equipment money is not automatic. It depends on the audit showing savings of at least 10% in energy or water consumption, and it goes towards the machinery or systems the assessment recommends.

Beyond the cash subsidy, the scheme is structured to provide facilitation and regulatory support to applicants. The larger purpose is to cut running costs for the business while reducing its environmental footprint.

About the provider

Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy is offered by Industries and Mines Department, Government of Gujarat, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.

How to apply

Applications are submitted on the . Confirm the current deadline and document checklist there before you start.

Selection process

An application is assessed by officials of the Industries and Mines Department, Government of Gujarat. The review is a compliance check rather than a competition.

  • The department confirms that the unit satisfies every stated eligibility condition, including MSME or DPIIT registration.
  • The energy or water audit submitted with the application is examined in detail.
  • For equipment assistance, the projected saving of at least 10% is checked against the audit findings.
  • The submitted documents and audit reports are verified, and that verification decides how much reimbursement or assistance is finally approved.

There is no pitch round or competitive selection stage. An application that meets the guidelines is assessed on its merits, and the quantum of support follows from the verified audit.

Documents you’ll need

Before you apply to Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy, keep the following documents ready:

  • A pitch deck or short business plan describing the problem, product and traction
  • Company registration documents and PAN
  • Founder identification (PAN / Aadhaar) and brief profiles
  • Recent financial statements or projections
  • Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.

Who this is best for

Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy is best suited for startups in India seeking non-dilutive funding of ₹20L. If that describes your startup, review the eligibility criteria above before applying.

Frequently asked questions

How much can an MSME receive under this scheme?

There are two benefits and an eligible enterprise can use both. The first is a reimbursement of 75% of what you paid for an energy or water audit, capped at ₹50,000. The second is a subsidy of 25% of the cost of the equipment that the audit recommends, capped at ₹20,00,000. The equipment component is the larger of the two and carries most of the value for a unit planning a serious efficiency upgrade.

Who is eligible to apply?

Your unit needs to be a Micro, Small or Medium enterprise working in the services sector, and it must hold a registration or acknowledgment certificate issued by the Ministry of MSME or by DPIIT. Beyond that, the conditions differ by component: the audit reimbursement requires an audit done by a recognised institution or consultant, while the equipment subsidy requires audit findings that show a saving of 10% or more.

Do I need an energy or water audit before I can claim anything?

Yes, the audit sits at the centre of the scheme. To claim the reimbursement, the study must have been conducted by a recognised institution or consultant. To claim help with equipment, the same audit report has to demonstrate the required savings. In practice, the audit is the starting point and everything else flows from its findings.

How is the 10% savings requirement measured?

The benchmark is the unit's average monthly consumption over the 12 months immediately preceding the audit. The audit findings have to validate that the reduction in energy or water use is at least 10% against that benchmark before equipment assistance can be considered. A projection that is not backed by the audit will not satisfy the condition.

Is DPIIT or MSME registration compulsory?

Yes. An enterprise must have obtained acknowledgment or registration from the Ministry of MSME or from the Department for Promotion of Industry and Internal Trade (DPIIT). This is one of the core eligibility conditions that the Industries and Mines Department verifies during its review.

Does the scheme take equity or need to be repaid?

No. This is a government subsidy, so there is no equity stake, no shareholding and nothing to repay. The money reaches the enterprise as a reimbursement of an audit bill and as a part-share of an equipment purchase.

What is the application deadline?

There is no single cut-off date. The scheme operates on a rolling basis and remains open for the period from 5 October 2022 to 4 October 2027, which means an enterprise can submit its application whenever its audit and paperwork are ready within that window.

How do I apply for this scheme?

Applications are submitted online through the Gujarat government's Investor Facilitation Portal (IFP) at https://ifp.gujarat.gov.in/DIGIGOV/. Begin by clicking New Investor Registration and filling in your basic details, then submit the form. A verification email will reach your registered address and you must click the link inside it to activate your account. After that, log in with your email address and password and open the application for this scheme. The final step is completing the form with your business details, uploading the mandatory documents, and entering information about your audit and the equipment you propose to buy.

What documents and information will I need to submit?

The application asks for your business details, the mandatory documents listed on the portal, and information about your energy or water audit along with the equipment you plan to purchase. A document checklist forms part of the application, so it is worth working through that list and preparing your enclosures before you begin filling in the form.

Is there a competitive pitch or selection round?

No. There is no pitch, jury or ranking stage. Officers of the Industries and Mines Department review the application against the eligibility guidelines — registration status, the audit, and the projected savings — and verify the submitted documents and audit reports. The approved reimbursement or assistance is then calculated from that verification.

Who offers Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy?

Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy is offered by Industries and Mines Department, Government of Gujarat, a government body. It is provided as non-dilutive funding.

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Alternatives to Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy

Not sure Aatmanirbhar Gujarat MSME Scheme — Energy & Water Saving Subsidy is the right fit, or already applied? These are other subsidies open to Indian startups that founders shortlist alongside it.

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