Chhattisgarh Royalty Reimbursement Scheme — 50% Iron Ore Royalty Subsidy — Frequently Asked Questions

It is a reimbursement rather than a fixed grant, so the rupee value varies from unit to unit. A qualifying enterprise gets back 50% of the royalty it pays to the state on iron ore and 100% of the cess the state collects on coal. The larger the plant's consumption, the bigger the reimbursement — the payout mirrors what the company has actually paid.

Only large enterprises operating in the steel sector. The scheme is part of Chhattisgarh's Package for Large Enterprises in the Core (Steel) Sector, so micro, small and medium units do not fall within its scope. The unit must also be operating in the Bastar or Surguja region of the state.

Yes. Operations have to be located in the Bastar and Surguja regions of Chhattisgarh. A large steel plant sited elsewhere in the state would not qualify under this particular incentive.

It depends on the enterprise's group. Group 1 (leaving aside units in the Bilha and Dharsiva development blocks) and Group 2 enterprises are covered for 10 years, while Group 3 enterprises are covered for 15 years. The period is counted from the date commercial production begins.

There is none in the usual sense. The scheme is rolling and always open, so there is no cut-off date by which a company must apply. An eligible enterprise can approach the state department once it satisfies the policy conditions.

No. This is a royalty and cess reimbursement — a subsidy paid back against costs the enterprise has already incurred — so no shares or ownership stake change hands.

The scheme's published eligibility conditions make no mention of DPIIT recognition or MSME/Udyam registration. Eligibility turns on being a large enterprise in the steel sector with operations in Bastar or Surguja, plus the group classification that determines the benefit period.

Broadly, proof of enterprise registration; evidence that the unit qualifies as a large enterprise in the steel sector; details showing its location within Bastar or Surguja; records establishing when commercial production began; and receipts showing the iron ore royalty and the coal cess that were paid. All of these are verified before any reimbursement is released.

Applications follow the procedures laid down in the Package for Large Enterprises in the Core (Steel) Sector. A formal application goes to the designated state authority — expected to be the Department of Industries, Chhattisgarh — and the state's submission portal is at https://swsportal.cgstate.gov.in/login/.

No. There are no competitive rounds or pitch presentations. The assessment is compliance-based: a committee or designated departmental officers check the application and documents against the policy criteria, and the reimbursement follows once eligibility and the claims are verified.

Chhattisgarh Royalty Reimbursement Scheme — 50% Iron Ore Royalty Subsidy is offered by Department of Industries, Government of Chhattisgarh, a government body. It is provided as non-dilutive funding.

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.