UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L
The Government of Uttar Pradesh reimburses 50% of a startup's data centre and cloud bills above ₹50,000, up to ₹2 Lakh per financial year. The scheme sits within the UP Startup Policy and claims are accepted on a rolling basis.
- Funding amount
- ₹2L (subsidy)
- Funding type
- Subsidy
- Provider
- Government of Uttar Pradesh (Government)
- Application deadline
- Rolling
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Overview
The UP Compute Power Reimbursement — known in the Uttar Pradesh Startup Policy as the Incentive for Compute Power — is a cash-back programme for compute-hungry startups working out of the state. It is offered by the Government of Uttar Pradesh and rests on a simple idea: cloud and data centre bills are a heavy, recurring cost for technology-led businesses, and the state is willing to shoulder part of them.
A qualifying startup can recover 50% of its data centre and/or cloud service spending above ₹50,000, with the payout capped at ₹2 Lakh per financial year. Since the support is structured as a reimbursement, it is paid against costs you have already incurred, and the policy treats it as a non-repayable benefit rather than a loan or a slice of your company.
The scheme is meant for startups that lean on scalable, dependable computing resources to build and run their products. Trimming that infrastructure bill frees up working capital for product development, hiring and market expansion, and it is one of the ways the state is trying to grow a technology ecosystem within Uttar Pradesh.
There is no fixed application window here. Claims move on a rolling basis, handled per financial year as the expenses are incurred, for as long as the policy stays in force.
Highlights
- Up to ₹2 Lakh back each financial year
- Half of data centre and cloud spend beyond ₹50,000 is reimbursed
- You must spend at least ₹50,000 a year on these services
- Rolling, always-open claims — no single deadline
- Offered by the Government of Uttar Pradesh under its startup policy
- A non-repayable cash benefit paid into the startup's bank account
Who can apply
The scheme is open to startups recognised as eligible under the Uttar Pradesh Startup Policy, and your business has to be genuinely paying for computing infrastructure.
- Minimum spend: you must have incurred at least ₹50,000 of data centre and/or cloud service expenses in the financial year. Spending below that line brings no reimbursement.
- Nature of the expense: the cost has to be an actual, incurred spend on data centre services and/or cloud services, backed by invoices and payment records.
- Registered entity: the policy's definition of an eligible startup broadly points to legally registered entities operating within Uttar Pradesh — private limited companies, LLPs, one person companies, partnerships and proprietorships. The authoritative wording, along with any extra conditions, sits in the full policy document, so read it before filing.
- Geography: this is a Government of Uttar Pradesh incentive for startups operating in the state.
UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L 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
UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L 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
What you receive
- A reimbursement covering 50% of your data centre and/or cloud service spend above ₹50,000 in a financial year.
- A ceiling of ₹2 Lakh per financial year for an eligible startup.
- A non-repayable cash benefit, credited to the startup's bank account once the claim clears verification.
How the maths works
Say your cloud and data centre bills for the year add up to ₹1,50,000. The portion above the ₹50,000 threshold is ₹1,00,000, and half of that — ₹50,000 — comes back to you. Spend more on eligible services and the reimbursement keeps climbing until it hits the ₹2 Lakh cap.
Why it matters
Infrastructure is an unavoidable, repeating cost for compute-reliant businesses. Covering half of it above the threshold lowers operating costs and releases capital that would otherwise go into server and cloud bills, leaving more room for product development, market expansion and talent acquisition.
About the provider
UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L is offered by Government of Uttar Pradesh, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India. You can verify current details and timelines on the provider's official website before applying.
Documents you’ll need
Before you apply to UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L, 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.
Who this is best for
UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L is best suited for startups in India seeking non-dilutive funding of ₹2L. If that describes your startup, review the eligibility criteria above before applying.
Frequently asked questions
How much money can my startup get back under this scheme?
A qualifying startup can receive up to ₹2 Lakh in a financial year. The reimbursement covers 50% of what you spend on data centre and/or cloud services above the first ₹50,000, so the payout grows along with your infrastructure bill until it reaches that ₹2 Lakh ceiling.
What is the minimum spend required to claim?
You need to have spent at least ₹50,000 on data centre and/or cloud services during the financial year. Spending below that line is not reimbursed at all — the ₹50,000 is a floor you must cross before the 50% calculation applies.
How exactly is the reimbursement calculated?
Take your total eligible spend for the year, subtract ₹50,000, then halve the remainder. If you spend ₹1,50,000, the amount above the threshold is ₹1,00,000, so 50% of it — ₹50,000 — is reimbursed. Whatever the result, it cannot go past ₹2 Lakh in a financial year.
Which expenses are covered?
Actual expenses incurred on data centre services and/or cloud services. Those are the two expense heads named under the incentive, and each claim has to be substantiated with invoices and payment proof.
Is there a deadline to apply?
There is no single last date. The incentive runs as a rolling, always-open benefit, with claims typically filed per financial year as expenses are incurred, for as long as the policy remains in force.
Is this a loan, or does the government take equity?
Neither. The incentive is structured as a subsidy-style reimbursement and the policy describes it as a non-repayable benefit. It is paid against costs you have already booked, so nothing has to be paid back — it is a reimbursement programme, not an investment programme.
Which startups count as eligible?
The Uttar Pradesh Startup Policy carries the definition of an eligible startup. In practice it generally refers to a legally registered entity operating within Uttar Pradesh — a private limited company, LLP, one person company, partnership or proprietorship. Since the policy document holds the authoritative wording and any additional conditions, go through it before you file your claim.
What paperwork do I need?
Invoices for the data centre and/or cloud services, proof that those invoices were paid, and the forms the designated portal or nodal agency requires to substantiate the expenditure. Keeping the records sorted financial year by financial year makes verification faster.
How and where do I apply?
Begin with the Uttar Pradesh Startup Policy document, which sets out the detailed criteria and application guidelines. Then incur the eligible expenses, collect your invoices and payment proofs, and submit the claim through the designated portal or nodal agency named in the policy, attaching the supporting documents. Registration on the state startup portal is at https://startinup.up.gov.in/Registration. After the authorities verify and process the claim, the approved amount is credited to your startup's bank account.
Can I claim this benefit every year?
The ₹2 Lakh limit is stated per financial year, and the incentive operates on a rolling basis for as long as the policy stays active.
Is DPIIT recognition required for UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L?
No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L, though having it can strengthen your application and unlock other benefits.
Who is eligible to apply for UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L?
UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L is open to startups at any stage. It is open to startups registered anywhere in India.
Who offers UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L?
UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L is offered by Government of Uttar Pradesh, a government body. It is provided as non-dilutive funding.
How do I apply for UP Compute Power Reimbursement — 50% Cloud Subsidy up to ₹2L?
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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