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Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹5L for Power Connection Charges — Frequently Asked Questions

FAQ

Answers to the questions founders most often ask about Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹5L for Power Connection Charges — who qualifies, the funding amount, required documents and how the application works.

Frequently asked questions

How much funding does the power connection charges component give?

You can claim back half of what you paid the distribution licensee, capped at ₹5,00,000. So if your eligible charges are ₹6 lakh, the reimbursement works out to ₹3 lakh; if they are ₹20 lakh, you receive the full ₹5 lakh ceiling.

Which power-related expenses are covered?

Three kinds of spend qualify: charges for a brand new Low Tension (LT) or High Tension (HT) power connection, charges for increasing your existing load when you expand, and charges incurred in shifting a connection or service line to another location.

Who is eligible to apply?

Your unit must be a micro, small or medium enterprise, an SC/ST entrepreneur must hold 51% or more of the contribution, and the enterprise has to be located outside GIDC areas and approved industrial parks.

What counts as an SC/ST enterprise for this scheme?

It is an enterprise where the contribution of the SC/ST entrepreneur or entrepreneurs — whether measured as equity or ownership — is 51% or more. Anything below that threshold does not meet the definition.

Is there an application deadline?

The scheme runs on a rolling basis, so there is no fixed last date to register. Two time limits do apply, though: the notified scheme window lasts until 6 August 2025, and your reimbursement claim must be submitted within one year of the date you paid the charges to the distribution licensee.

Does the scheme take equity in my company?

No. This is a subsidy paid as a reimbursement against charges you have already incurred. No equity is diluted and no repayment is required — the approved amount is simply transferred to your enterprise's bank account.

Can an enterprise located inside a GIDC area apply?

No. Units situated within Gujarat Industrial Development Corporation areas or any approved industrial park fall outside this component. Only enterprises operating outside those zones can claim the reimbursement.

How do I apply for the reimbursement?

Applications go through the Gujarat government's Investor Facilitation Portal (IFP). You first create a new investor registration, verify your email address through the link sent to you, log back in with your registered email and password, and then fill in your business details and upload the mandatory documents to submit the claim.

What happens after I submit the application, and how is the money paid?

The department reviews the claim and verifies the documents and details against the scheme guidelines — enterprise registration, SC/ST ownership, location outside GIDC or an industrial park, and proof of payment of the power connection charges. If the claim clears this check, the approved reimbursement is credited straight into your enterprise's bank account.

What documents do I need to submit?

The portal asks you to enter your business details and upload the mandatory documents it specifies. Since eligibility turns on having paid the distribution licensee, your proof of payment of the power connection charges is the central record the department examines during verification.

Is DPIIT recognition required for Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹5L for Power Connection Charges?

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹5L for Power Connection Charges, though having it can strengthen your application and unlock other benefits.

Who offers Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹5L for Power Connection Charges?

Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹5L for Power Connection Charges is offered by Industries and Mines Department, Government of Gujarat, a government body. It is provided as non-dilutive funding.

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