Subsidy & Funding

SUBSIDY AND FUNDING

1. Subsidy:

a. Customer shall be eligible for a subsidy from MNRE

  • 30% of the bench mark cost (Rs. 5,400/sqm) or actual cost whichever is less to all beneficiaries in all states
  • 60% of the bench mark cost (Rs. 5,400/sqm) or actual cost whichever is less to Non-profit making bodies and institutions in special category states,viz., NE states,Sikkim, J&K, Himachal Pradesh, Uttarakhand and islands.

b. Customer shall be eligible for a subsidy from UNDP:

  • Subsidy up to 10% of project cost to maximum of Rs. 15 lakhs.

2. FUNDING:

Soft funding from IREDA

  • Rate of Interest 7% After considering UNIDO Interest Subvention
  • Repayment Period 7 Year 1year moratorium + 6 years repayment
  • Bridge loan against MNRE subsidy

Rate of Interest 12% The rate is applicable till the project is commissioned.On commissioning, the MNRE subsidy will be passed to the project and the bridge loan will be closed Indicative Project Cost Structure:

  • Minimum Promoters Contribution – 25 %
  • Soft Loan – 45 %
  • MNRE Subsidy – 30 %
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