AP Water Audit Reimbursement Scheme — Up to ₹1 Lakh for MSMEs — Frequently Asked Questions
Answers to the questions founders most often ask about AP Water Audit Reimbursement Scheme — Up to ₹1 Lakh for MSMEs — who qualifies, the funding amount, required documents and how the application works.
Frequently asked questions
How much funding can I get under this scheme?
You are reimbursed 75% of your total water audit cost, with the payout capped at ₹1 Lakh per enterprise. If your audit bill is small, the reimbursement simply follows the invoice; the ₹1 Lakh figure is the upper limit, not a fixed amount.
Who is eligible to apply?
Micro, Small and Medium Enterprises covered by MEDP 4.0 and FPP 4.0 are the main applicants. Farmer Producer Organizations, Self-Help Groups, Federations, Cooperatives and Societies are also eligible, depending on their investment size. The organisation must be operating in Andhra Pradesh.
Is there a deadline to submit a claim?
No fixed deadline applies. Applications are taken on a rolling basis for as long as the MEDP 4.0 and FPP 4.0 policies (2024-29) remain in force, so there is no closing date for individual claims.
Does this scheme take equity in my business?
No. It is a subsidy paid as a reimbursement, which means it is completely non-dilutive — you give up no shares or ownership. You simply recover part of an expense you have already paid.
Do I have to fund part of the audit myself?
Yes. Since the scheme covers 75% of the cost, your enterprise carries the remaining 25% of the audit bill, along with anything the reimbursement cap does not absorb.
Do I need MSME or DPIIT registration to apply?
The document list points to your enterprise registration papers — for example an MSME Udyam registration certificate, or the relevant FPO or SHG registration. The scheme does not state a DPIIT recognition requirement, and no founder-level conditions are mentioned.
Which industries can use this scheme?
The Food Processing Policy route is explicit about food processing units, but the Micro and Small Enterprise Development Policy is broad in scope. In practice the scheme is generally open to eligible MSMEs operating in Andhra Pradesh regardless of their specific industry.
What documents will I need?
Typically the detailed water audit report, the invoice and payment proof from the audit agency, and your enterprise's registration documents — such as an MSME Udyam certificate or FPO/SHG registration.
How do I apply?
First complete the water audit through a qualified agency, then fill the prescribed reimbursement form under MEDP 4.0 or FPP 4.0 and submit it with all supporting documents to the designated authority in the Department of Industries, Government of Andhra Pradesh. Applications can also be filed through the department's online portal at https://www.apindustries.gov.in/Incentives/Index.aspx.
Can I claim this reimbursement more than once?
No. The assistance is described as one-time financial support, so it is claimed once against a completed water audit rather than repeatedly.
Who offers AP Water Audit Reimbursement Scheme — Up to ₹1 Lakh for MSMEs?
AP Water Audit Reimbursement Scheme — Up to ₹1 Lakh for MSMEs is offered by Department of Industries & Commerce, Government of Andhra Pradesh, a government body. It is provided as non-dilutive funding.
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