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Infrastructure Subsidy

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PMEGP(Prime Minister Employment Generation Programme)

Infrastructure Subsidy
  • Up to 100% subsidy on space rent for SC/ST, women, NER, PH, and units from aspirational districts; 80% for other units.
  • Capacity Building for marketing actovities • Adoption of Modern Packaging Techniques • Adoption of Bar Code • Adoption of e-Commerce Platform • National Workshops/Seminars • Organizing National workshops/seminars by the Ministry/Office of DC (MSME) (Conventional/Virtual)
  • Up to ₹25,000 or actuals (whichever is less) for travel, publicity, and freight.
  • Maximum Support: ₹1.5 lakh per exhibitor per event, including contingency expenditure .
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Micro and Small Enterprises - Cluster Development Programme (MSE -CDP)

Infrastructure Subsidy
  • Common Facility Centers (CFCs): (a) Support for creating tangible assets like Common Production/Processing Centers, Design Centers, Testing Facilities, and Plug & Play Infrastructure. (b) Government assistance: Up to 80% of the project cost, with a maximum limit of ₹30 crores.
  • Infrastructure Development: (a) Development of basic infrastructure such as land, roads, drainage, power distribution, etc., in new or existing industrial estates/clusters. (b) Government assistance: Up to 70% of the project cost, with a maximum limit of ₹15 crores.
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UP Food Processing Industry Policy 2023

Infrastructure Subsidy
  • Subsidy of 35% for infrastructure pertaining to Cold Chain and Value Addition and a subsidy of 50% up to Rs. 10 Crores for frozen storage/deep freezer, value addition and processing infrastructure.
  • Infrastructure for Agro processing clusters: Minimum 5 food processing units with minimum investment of Rs. 25 crores, a grant of 35% of the eligible project cost subject to maximum of Rs. 10 crores will be provided as grant.
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Uttar Pradesh Industrial Investment & Employment Promotion Policy 2022

Infrastructure Subsidy
  • Incentives to developers of Private Industrial Parks (Having min. 5 units with no single unit occupying more than 80% of the total allocable area).
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Leather & Footwear Policy 2025

Infrastructure Subsidy
  • For development of private industrial parks / leather-footwear parks / clusters : Parks of 25–100 acres: Capital subsidy of 25% of eligible capital investment (on infrastructure, not land cost), up to ₹ 45 crore.
  • Parks of 100+ acres: Same 25% subsidy with a higher cap — up to ₹ 80 crore.
  • 100% exemption on stamp duty for land purchase related to such parks.
  • It is mandatory that no single unit occupies more than 80% of the park area; 25% of land must be reserved for greenery & common infrastructure (roads, utilities, etc.).
  • Completion timelines: Parks of 25–100 acres must be completed within 5 years; parks of 100+ acres within 6 years
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U.P Aerospace & Defence Unit and Employment Promotion Policy - 2024

Infrastructure Subsidy
  • For Private D&A / Aerospace Industrial Parks : 10% back-ended infrastructure development subsidy, up to ₹10 crore, for parks developed on a minimum of 50 acres.
  • For parks located in Bundelkhand region: Additional capital investment subsidy, up to ₹15 crore.
  • UPEIDA provides core infrastructure in each node : 132 KVA power supply.
  • Water supply.
  • Road connectivity.
  • Boundary demarcation and internal infrastructure.
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Bioplastic Industry Policy 2024 in Uttar Pradesh

Infrastructure Subsidy
  • For Anchor Units (Investment ≥ ₹1,000 Cr) : 50% Capital Subsidy — spread over 7 years.
  • 5% Interest Subsidy — for 7 years.
  • 100% SGST Reimbursement — for 10 years.
  • Electricity Duty Exemption — for 10 years.
  • Overall Incentive Cap: Total incentives limited to 200% of eligible capital investment over 10 years.
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Green Hydrogen Policy

Infrastructure Subsidy
  • Power Infrastructure Support : 100% exemption on: Electricity Duty for 10 years or project life.
  • Intra-state wheeling charges.
  • Transmission charges.
  • Cross-subsidy surcharges.
  • Grid & Water Infrastructure.
  • Transmission infrastructure to be developed.
  • Water availability to be ensured for hydrogen projects
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U.P Pharmaceutical and Medical Device Policy 2023

Infrastructure Subsidy
  • Capital Subsidy:15% of investment up to ₹200 Cr for eligible units.Provided in 5 annual installments.
  • Pharma Parks–Infrastructure Subsidies : 60% annual interest subsidy for 7 years on loan for infrastructure creation, up to ₹50 Cr.
  • 60% annual interest subsidy for 7 years for common facilities, up to ₹30 Cr.
  • 25% of FCI for common infra/utilities, up to ₹25 Cr (over 5 years).
  • Electricity Duty Exemption : 100% exemption for 10 years
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Tourism Policy 2022

Infrastructure Subsidy
  • Capital Investment Subsidy : based on ECI slab: ₹10 lakh – ₹10 crore → 25% subsidy, ceiling ₹2 crore.
  • Up to ₹50 crore → 20% subsidy, ceiling ₹7.5 crore.
  • Up to ₹200 crore → 15% subsidy, ceiling ₹20 crore.
  • Up to ₹500 crore → 10% subsidy, ceiling ₹25 crore.
  • Above ₹500 crore → 10% subsidy, ceiling ₹40 crore.
  • Additional 5% subsidy for: Unserved destinations (Tier-2 or lower cities).
  • Women entrepreneurs.
  • SC/ST/Backward Classes.
  • Focus Tourism Destinations.
  • Total incentives in all categories capped at 30%.Heritage Hotels (Special Incentives):25% subsidy on capital cost without altering architecture.
  • Self-expenditure & loan treated as ECI.
  • 5% interest subsidy for 5 years on loan up to ₹5 crore.
  • 100% stamp duty & land use conversion exemption.
  • 50% reimbursement on first-year excise license fee.
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IT and ITeS Policy of UP 2022

Infrastructure Subsidy
  • Capital subsidy of 10% of FCI, maximum up to ₹50 Cr
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Uttar Pradesh Startup Policy 2020( First Amendment 2022)

Infrastructure Subsidy
  • Incubation Space Development Goal:Creation of 1 million sq. ft. of incubation/acceleration space in the state.
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Uttar Pradesh Data Center Policy 2021

Infrastructure Subsidy
  • Dual Power Grid Supply : Available to first 3 DC parks in the state.
  • Energy Department bears the cost of second grid.
  • For units – available on demand at applicable charges.
  • Transmission & Wheeling Charges Exemption :
  • For 25 years :50% exemption on intrastate sale of power.
  • 100% exemption for intrastate transmission system.
  • 5 years exemption on import of energy from outside UP.
  • Applicable to both parks & units
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Uttar Pradesh Pharmaceutical Policy 2018

Infrastructure Subsidy
  • Infrastructure Interest Subsidy (as per UP IIEPP 2017).
  • Pharma Park Infrastructure Support :Incentives equivalent to those given to Private Industrial Parks under UP IIEPP 2017 (includes capital subsidies and infrastructure interest support).
  • Interest subsidy (reimbursement): 5% Up to ₹1 crore maximum period of 5 year
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