IPS Environment Protection Infrastructure Subsidy — ₹30L for MSMEs — Frequently Asked Questions
Answers to the questions founders most often ask about IPS Environment Protection Infrastructure Subsidy — ₹30L for MSMEs — who qualifies, the funding amount, required documents and how the application works.
Frequently asked questions
How much funding does this subsidy actually give?
Your unit can receive the lower of two figures: ₹30 lakh, or 25% of the capital cost of the eligible facility. So ₹30,00,000 is the maximum anyone can get, and a smaller project simply receives a quarter of what it spent on the qualifying infrastructure.
What kind of projects does the subsidy support?
Two broad categories. The first is environmental protection infrastructure — facilities for treating effluent, for managing hazardous waste, and for recycling wastewater. The second is manufacturing units that develop and produce alternatives to single-use plastic items. In both cases, the support is aimed at capital spending that improves environmental sustainability and keeps the unit compliant with the region's regulations.
Who is eligible to apply?
The unit must be a new manufacturing or service unit in the MSME sector, or an existing manufacturing or service unit taking up expansion or diversification. It has to be located in the Union Territory of Dadra and Nagar Haveli and Daman and Diu, and its commercial production must have started between 20 May 2022 and 19 May 2027. One exclusion applies: if the Pollution Control Committee has required the unit to set up Zero Liquid Discharge, it cannot claim this subsidy.
What is the last date to submit an application?
There is no single closing date — the scheme runs on a rolling, always-open basis. Applications are accepted while the umbrella Investment Promotion Scheme is in force, which is from 20 May 2022 until 19 May 2027. The date that really matters for eligibility is when your commercial production began, since that too must fall within the same window.
Is this a grant, a loan or an equity investment?
It is a capital subsidy. Nothing has to be repaid, and the Department does not take any equity or stake in your business in return. That makes it a non-dilutive source of funding for the facility you are setting up.
Can a unit that has been told to install Zero Liquid Discharge apply?
No. Units that the Pollution Control Committee has mandated to set up Zero Liquid Discharge are specifically excluded from this sub-scheme. If your unit falls in that category, it is not eligible for the Environment Protection Infrastructure Subsidy even if it meets the other criteria.
Do I need DPIIT recognition or MSME registration to apply?
The published eligibility criteria for this subsidy are built around the unit belonging to the MSME sector, its location in the Union Territory, the date its commercial production began, and its environmental status. DPIIT recognition is not listed among the conditions. You will, however, need to upload the mandatory documents specified in the Common Application Form on the portal.
How do I apply for the subsidy?
Everything is handled online. Start at the registration page of the Single Window Portal (https://swp.dddgov.in/registration), fill in your details and register. Verify your email through the link that is sent to you, then verify your mobile number using the OTP 111111 — after this, your mobile number and PIN reach your registered email. Log in at https://swp.dddgov.in/login with your mobile number and PIN, open the "Departments & Services" tab from the left menu, scroll to "District Industries Centre DD & DNH", click "Click Here" and select "Investment Promotion Scheme : 2022 to 2027 (20 May 2022 to 19 May 2027)". The Common Application Form will open; fill in every required field, upload the mandatory documents, check the entries carefully and hit "Submit".
What documents will I need to submit?
The Common Application Form on the Single Window Portal lists the documents that must be uploaded, and all of them are mandatory. Keep your registration details, email access and mobile number handy through the process, since account verification and the PIN delivery both depend on them.
Who can I contact if I need help?
For questions about the scheme itself, reach the District Industries Centre on 0260-2260871 or 0260-2260310, or write to dic-dd@nic.in. For technical problems with the Single Window Portal, call 0260-2231885 or 0260-2231886, or email ddegs-dd@nic.in.
Who offers IPS Environment Protection Infrastructure Subsidy — ₹30L for MSMEs?
IPS Environment Protection Infrastructure Subsidy — ₹30L for MSMEs is offered by Department of Industries, UT Administration of Dadra and Nagar Haveli and Daman and Diu, a government body. It is provided as non-dilutive funding.
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