“Assistance for Technology Acquisition” under “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Capital Intensive Industries”

Introduction

The “Assistance for Technology Acquisition” scheme, part of the “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Capital Intensive Industries,” aims to facilitate entrepreneurs in Puducherry by providing substantial financial assistance for technology acquisition. Launched by the Industries and Commerce Department of the Union Territory of Puducherry, this initiative is designed to boost the local industrial landscape by supporting the adoption of modern technologies.

Overview of the Scheme

The “Assistance for Technology Acquisition” scheme has been operational since April 1, 2017, across the entire Union Territory of Puducherry. The initiative provides a grant covering 50% of the costs incurred for acquiring the necessary technology for specific products or processes, with a maximum limit set at ₹10,00,000. Applications for this financial support can be submitted offline using the prescribed format available through the official website of the department.

Key Benefits

• Financial Assistance: 50% grant on eligible technology acquisition costs.
• Maximum Grant Amount: Up to ₹10,00,000.
• Intended Use: Acquisition of suitable technology for specific products or processes.
• Disbursement Flexibility: Funds can be released in single or multiple installments based on availability.
• Disbursement Method: Subsidy amounts are provided through financial institutions if the unit is financed by them; otherwise, direct payments are made to self-financed units.

Eligibility Requirements

To qualify for the scheme, applicants must meet the following criteria:

• The assistance must be intended for establishing a new unit utilizing new technology.
• Existing units can also apply if they aim to introduce a new product or enhance their production processes.
• The industrial unit must employ at least 60% of its workforce from the Union Territory of Puducherry, a requirement that must be maintained as per the affidavit submitted.
• The unit must not transfer or dispose of any fixed assets, including plant and machinery, for five years from the application submission or subsidy disbursement date, whichever is later.
• Additional investments made after the first subsidy claim can also qualify for further support, subject to the ceiling limit.

Note: Units that began commercial production on or after April 1, 2017, are classified as new, while those that commenced prior to this date are considered existing.

Application Procedure

The application process for the “Assistance for Technology Acquisition” scheme involves several steps:

Step-by-Step Application Process

1. The industrial unit must register its claim for the subsidy using the designated application form available on the official website of the Directorate of Industries and Commerce, Puducherry.
2. Complete the application form, ensuring all mandatory fields are filled and required documents are attached (self-attestation may be needed).
3. Submit the signed application form along with the necessary documents to the relevant authority.
4. Upon submission, request a receipt or acknowledgment from the concerned authority. Ensure that this receipt contains essential details such as the submission date, time, and a unique identification number, if applicable.

Post-Application Steps

1. The Directorate of Industries will review the applications based on merit to determine the admissibility of incentives/subsidies and the amount that can be granted.
2. A State Level Committee will assess the merits of each case to confirm eligibility for the incentive/subsidy and recommend the appropriate amount to be allocated.

Application Deadlines

It is crucial for applicants to adhere to the following timelines:

• For New Units: Applications must be submitted within one year of receiving the Entrepreneur Memorandum Part-2/Permanent Registration/Commencement of Production Certificate.
• For Existing Units: Applications should be made within one year of completing any expansion, diversification, or modernization efforts.

Official Source

For more details, visit the official website: myScheme.gov.in.