Rajasthan PLI for Ethanol — ₹1.50/Litre Subsidy for OMC Suppliers — Frequently Asked Questions
Answers to the questions founders most often ask about Rajasthan PLI for Ethanol — ₹1.50/Litre Subsidy for OMC Suppliers — who qualifies, the funding amount, required documents and how the application works.
Frequently asked questions
How much does the Rajasthan PLI for Ethanol pay?
Eligible manufacturers receive ₹1.50 for every litre of ethanol they produce and supply to Oil Marketing Companies (OMCs). The payment is linked to actual production and supply, not to a lump sum sanctioned upfront.
Is there a maximum limit on the total incentive I can receive?
Yes. Your cumulative benefit is capped at a maximum of 100% of the investment you have made in plant and machinery. Once payouts reach that ceiling, the incentive stops.
For how long can I keep claiming this incentive?
The incentive is available for a period of up to 7 years. The clock starts from the date of commercial production, not from the date of registration or application.
Who is eligible to apply?
The scheme is open to ethanol manufacturers who supply their ethanol to Oil Marketing Companies (OMCs). Your project also needs to be registered under the Rajasthan Investment Promotion Scheme (RIPS) 2024, and the benefit is measured against your plant and machinery investment.
Which government body runs this scheme?
It is administered by the Department of Industries and Commerce, Government of Rajasthan, as part of the Rajasthan Investment Promotion Scheme (RIPS) 2024. Registration and applications are handled through the state's investment portal.
Is there an application deadline?
No. The scheme runs on a rolling basis, so applications are accepted throughout the year rather than against a fixed closing date. That said, the 7-year benefit window is tied to your commercial production date, so an early claim works in your favour.
Do I need DPIIT recognition or MSME registration to claim?
DPIIT recognition is not stated as a condition of this scheme. Udyam registration does feature among the documents typically submitted with a claim, alongside proof of incorporation, investment records and your OMC agreements.
Does the government take equity in my company for this funding?
No. This is a production-linked subsidy paid out in cash against verified output and supply. It is not an equity investment, so no stake or ownership in your business is given up in return.
What documents are typically required?
Claims usually need proof of incorporation, Udyam registration, details of your investment, invoices for plant and machinery, a commercial production certificate, agreements with OMCs, and regular reports on the ethanol you supply. These are verified by the concerned department or auditing authority before disbursement.
How do I apply for the Rajasthan PLI for Ethanol?
Register your project under the Rajasthan Investment Promotion Scheme (RIPS) 2024 with the relevant state department or nodal agency. Once commercial production has begun, submit a formal application covering your plant and machinery investment, production start date and projected OMC supply through the state's investment portal at rajnivesh.rajasthan.gov.in, then file the supporting documents for verification.
Who offers Rajasthan PLI for Ethanol — ₹1.50/Litre Subsidy for OMC Suppliers?
Rajasthan PLI for Ethanol — ₹1.50/Litre Subsidy for OMC Suppliers is offered by Department of Industries and Commerce, Government of Rajasthan, a government body. It is provided as non-dilutive funding.
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