Power Tariff Subsidy (Special LSI) — ₹1 per Unit for 3 Years in Maharashtra — Frequently Asked Questions

It reduces what you pay for electricity. For every unit of power your plant consumes, the subsidy covers ₹1, and this relief continues for three years from the date your unit becomes eligible and starts operations. It is a recurring credit against your power cost, not a one-time payment.

The aggregate subsidy for a single unit is capped at ₹1.5 crore across the full three-year period. The per-unit rate of ₹1 applies until that ceiling is reached.

The subsidy is open to new Special Large Scale Industrial (LSI) units that fall under Group D, D+ or a lower category, as those groups are defined in the Maharashtra Industries Investment and Services Policy 2025. The unit must be located in Maharashtra. Your position in the relevant group is the deciding factor, so confirm your classification against the policy before applying.

No. The scheme is specifically aimed at new units, since its purpose is to draw fresh investment and new industrial set-up into the identified regions of Maharashtra. Units that already existed before do not fall within its scope.

There isn't. This is a rolling scheme with no fixed closing date, so you can apply once your unit is eligible and operational. That said, the subsidy clock runs for three years from your date of eligibility, so delaying the application does not extend the benefit period.

No. This is a subsidy, not an equity investment, so it does not dilute your ownership. You receive the tariff relief without giving up any shareholding in the business.

The scheme's stated eligibility condition is your unit's status as a new Special LSI unit and its Group D, D+ or lower classification under the policy, rather than MSME or DPIIT registration. Refer to the policy document for the definitive list of conditions and any supporting registrations the application requires.

The documentation is what you would normally expect for an industrial incentive claim: proof of incorporation, industrial registration, details of your power connection, investment details and other compliance certificates. A detailed project report with financial projections is also part of the submission. Make sure every field in the form is accurate and that uploads follow the prescribed format.

Applications are submitted through the MAITRI portal (https://maitri.maharashtra.gov.in/login), or through any other designated online platform or physical office of the Maharashtra Industries Department. Submit the completed form along with the supporting documents.

After verification and approval, the subsidy is applied to your unit's electricity bills over the next three years, up to the ₹1.5 crore ceiling. That means the relief shows up as a lower power bill rather than as a separate lump-sum disbursement.

Power Tariff Subsidy (Special LSI) — ₹1 per Unit for 3 Years in Maharashtra is open to startups at any stage. It is open to startups registered anywhere in India.

Power Tariff Subsidy (Special LSI) — ₹1 per Unit for 3 Years in Maharashtra is offered by Directorate of Industries, Government of Maharashtra, 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.