Department of Industries, Government of Himachal Pradesh (Startup Himachal)
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Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years

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A subsidy from the Department of Industries, Government of Himachal Pradesh, that cuts electricity duty for EHT, Large, Medium and Small industrial consumers for five years, with extra relief for units employing more than 300 Himachali residents.

Funding amount
Varies by program
Funding type
Subsidy
Provider
Department of Industries, Government of Himachal Pradesh (Startup Himachal) (Government)
Application deadline
Rolling
Eligible stage
Any stage
Location
Open to startups registered in India

Overview

This incentive is administered by the Department of Industries, Government of Himachal Pradesh, and forms part of the state's Industrial Investment Policy 2019. It does not pay out a lump sum. Instead, it reduces a recurring operating cost by trimming the electricity duty that an eligible industrial consumer has to pay.

For a unit running heavy machinery, power is one of the biggest fixed expenses of the year. Shaving duty off that bill lifts margins directly and makes a Himachal Pradesh site more competitive against locations in other states.

The relief runs for a five-year period. Extra High Tension (EHT) consumers — units drawing supply at voltage above 33 KVA — receive a 7% concession. Large, Medium and Small industrial consumers also get duty concessions over the same five-year window. Units that employ more than 300 Himachali residents qualify for further concessions on top of their category benefit.

Applications are accepted on a rolling basis, so there is no window that can be missed. A unit applies once it satisfies the criteria, and after the department verifies its details the concession is reflected in its electricity bills for the eligible years.

Highlights

  • 7% electricity duty concession for EHT consumers drawing supply above 33 KVA
  • Relief runs for a five-year period
  • Large, Medium and Small industrial consumers are also covered
  • Additional concessions for units employing more than 300 Himachali residents
  • Offered under the Himachal Pradesh Industrial Investment Policy 2019
  • Rolling applications — no fixed deadline

Who can apply

Who can apply: industrial consumers operating in Himachal Pradesh, across every consumption category listed under the policy.

  • Extra High Tension (EHT) consumers — units whose supply voltage is above 33 KVA.
  • Large industrial consumers.
  • Medium industrial consumers.
  • Small industrial consumers.

The programme is framed around a unit's industrial classification and its electricity connection rather than around a particular sector, so the eligibility test is the category of consumer and, where applicable, the employment it generates. There is a second qualifying route as well: an industrial consumer that employs more than 300 Himachali residents becomes eligible for additional benefits.

No DPIIT recognition or MSME registration condition appears in the programme's stated eligibility criteria.

Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years is open to startups at any stage. It is open to startups registered anywhere in India.

Eligible stage
Any stage
Location
Open to startups registered in India

Deadline & timing

Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

What the funding covers

EHT consumers — units with a supply voltage exceeding 33 KVA — receive a 7% concession on electricity duty, valid for five years.

Large, Medium and Small industrial consumers also receive electricity duty concessions across the same five-year period, aimed at bringing down their operating costs and supporting industrial growth in the state.

Employment-linked top-up — an industrial unit that employs more than 300 Himachali residents qualifies for additional concessions.

The benefit is not a fixed rupee figure. Because the concession is calculated as a percentage of the duty a unit is charged, the actual saving scales with consumption and with the category the unit falls under, so the amount varies from one applicant to another.

About the provider

Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years is offered by Department of Industries, Government of Himachal Pradesh (Startup Himachal), a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.

How to apply

Applications are submitted on the . Confirm the current deadline and document checklist there before you start.

Selection process

  • Application — the industrial consumer submits a formal application to the government department responsible for implementing the Industrial Investment Policy 2019.
  • Documentation — the applicant provides papers that substantiate its industrial classification (EHT, Large, Medium or Small) and, where an employment-linked benefit is being claimed, proof of employing more than 300 Himachali residents. The official Incentives Guide lists the required forms, annexures and submission steps.
  • Verification — the concerned department reviews the application and checks the declared industrial category, supply voltage and employment figures against the conditions laid down in the policy.
  • Concession applied — once eligibility is confirmed, the concession is applied to the unit's electricity bills for the eligible period.

Documents you’ll need

Before you apply to Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years, keep the following documents ready:

  • A pitch deck or short business plan describing the problem, product and traction
  • Company registration documents and PAN
  • Founder identification (PAN / Aadhaar) and brief profiles
  • Recent financial statements or projections
  • Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.

Frequently asked questions

How much money does the Electricity Duty Concession give?

There is no single figure, because the benefit is a reduction in a bill rather than a lump sum. Extra High Tension consumers get a 7% concession on electricity duty for five years, and Large, Medium and Small industrial consumers get duty concessions over the same five-year span. Units employing more than 300 Himachali residents are eligible for additional concessions. Your actual saving therefore depends on your consumer category and the duty you are charged.

Is this a grant, a loan or an equity investment?

It is a subsidy. You are not given cash to repay and you are not asked to give up any share of your company in return. The concession simply lowers the electricity duty you owe, which means the value you receive is non-dilutive and non-repayable.

Which industrial consumers can claim the concession?

The scheme covers industrial consumers in Himachal Pradesh across the categories named in the policy — Extra High Tension (EHT), Large, Medium and Small. EHT consumers are those with a supply voltage exceeding 33 KVA. An industrial consumer that employs more than 300 Himachali residents also becomes eligible for additional benefits.

Is there an application deadline I need to watch?

No. Applications are accepted on a rolling basis, so the scheme stays open rather than closing on a fixed date. Industrial units typically apply once they meet the eligibility conditions as part of their engagement with the Industrial Investment Policy 2019.

Do I need DPIIT recognition or MSME registration to apply?

The programme's stated eligibility criteria do not mention DPIIT recognition or MSME registration. Eligibility is assessed on the unit's industrial category, its supply voltage and, where relevant, its employment of Himachali residents.

How does the 300-Himachali-resident condition work?

It is an extra layer of benefit rather than a separate scheme. If your industrial unit employs more than 300 Himachali residents, you become eligible for additional concessions beyond whatever your consumer category already qualifies you for. You will need to provide proof of those employment figures when you apply.

How long does the concession apply, and from when?

The relief is applicable for a fixed span of five years. That period runs from the point at which an eligible unit commences commercial operations or otherwise qualifies for the incentive under the policy.

What documents do I need, and where do I apply?

Applications are submitted to the government department that administers the Industrial Investment Policy 2019, and can be made through the state's online services portal at https://emerginghimachal.hp.gov.in/online-services. You will need documentation establishing your industrial classification — EHT, Large, Medium or Small — and, if you are claiming the employment-linked benefit, proof of employing more than 300 Himachali residents. The official Incentives Guide sets out the full list of forms, annexures and submission procedures.

Who is eligible to apply for Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years?

Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years is open to startups at any stage. It is open to startups registered anywhere in India.

Who offers Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years?

Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years is offered by Department of Industries, Government of Himachal Pradesh (Startup Himachal), a government body. It is provided as non-dilutive funding.

How do I apply for Electricity Duty Concession Himachal Pradesh — 7% Relief for 5 Years?

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

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