Chhattisgarh Electricity Duty Exemption — 100% Waiver for New Large Enterprises — Frequently Asked Questions

It does not pay a fixed sum. The value is whatever electricity duty your unit would otherwise have paid during the exemption period, and because the relief is 100%, that entire amount stays with you. A plant that consumes a lot of power saves correspondingly more, so the rupee figure differs from unit to unit.

The scheme is open to new large enterprises that come up in Chhattisgarh and fall under the General Sector or the Thrust Sector as defined in the state's industrial policy. Smaller unit categories are not covered by this particular incentive. Eligibility is also tied to the unit having commenced commercial production.

It depends on your classification. General Sector Industries get the waiver for 6, 7 or 8 years, while Thrust Sector Industries get 8, 10 or 12 years. Within each sector, the exact number of years is decided by the group your enterprise is placed in.

None of those in the usual sense. It is a subsidy delivered as a statutory exemption — the state simply does not levy electricity duty on your unit for the exemption period. There is no cash disbursement, nothing to repay, and no stake taken in your business.

It starts from the date your enterprise commences commercial production. That matters because the exemption clock is tied to when the unit actually starts producing, not to when the application is filed.

There is no closing date. The scheme operates on a rolling basis under the Chhattisgarh Industrial Development Policy 2024-30, so an eligible enterprise can apply at any point rather than targeting a fixed window.

The papers generally called for include proof of incorporation, evidence of the date on which commercial production began, the project report, details of your investment, and documentation establishing your classification under the General or Thrust Sector and your specific group. Keep these ready before you start the application.

Register your new large enterprise with the relevant state industrial department, then submit the exemption application through the state's single window portal at https://swsportal.cgstate.gov.in/login/, attaching the required documents. The department verifies the submission, and on approval issues an exemption certificate or order confirming your entitlement and its duration. You then need to stay compliant with the policy conditions throughout the exemption period.

The scheme details do not list DPIIT or MSME registration as a condition. What the policy looks at is whether your unit qualifies as a new large enterprise and how it is classified under the General or Thrust Sector and its group.

Yes, in terms of duration. Units in the Thrust Sector receive a longer waiver — 8, 10 or 12 years — than those in the General Sector, which get 6, 7 or 8 years. Which sector a given industry falls into is set out in the state's industrial policy.

Chhattisgarh Electricity Duty Exemption — 100% Waiver for New Large Enterprises is offered by Department of Industries, Government of Chhattisgarh, a government body. It is provided as non-dilutive funding.