Maximise benefits of `1,000 cr scheme, Centre urges states

Vijayawada: In a major step towards strengthen India’s MSME sector and promote sustainable industrial practices, the ministry of power has launched the Assistance in Deploying Energy Efficient Technologies in Industries and Establishments (ADEETIE) scheme, backed by a Rs 1,000-crore Central budget.

Launched nationally from Panipat, the scheme is being implemented by the Bureau of Energy Efficiency (BEE) and is designed to fast-track the adoption of advanced energy-efficient technologies in MSMEs—an economic backbone employing millions and driving innovation across sectors.

As part of the national rollout, BEE has appealed to all state governments to take immediate and focused action in scaling up implementation of the ADEETIE scheme. States have been urged to engage their State Designated Agencies (SDAs) to proactively educate stakeholders, identify eligible clusters, and provide end-to-end support to MSMEs for seamless technology transition.

“ADEETIE is a big boon to the MSME sector,” said Akash Tripathi, additional secretary, ministry of power and director general, BEE. “We urge all states to capitalize on this opportunity from the very beginning to ensure the scheme’s success and maximize benefits for their industries.”

Of the Rs.1,000-crore budget, Rs 875 crore is earmarked as interest subvention to ease access to concessional finance for energy-efficient upgrades, while Rs 50 crore is allocated for implementation and capacity-building. The initiative is expected to leverage total investments of over Rs 9,000 crore, including significant lending by MSMEs themselves.

The scheme provides comprehensive support—from Investment Grade Energy Audits (IGEA) and Detailed Project Reports (DPRs) to financing assistance and Monitoring and Verification (M&V)—ensuring measurable energy savings, reduced costs, and enhanced productivity.

ADEETIE is operational across 60 industrial clusters and 14 energy-intensive sectors, including textiles, foundries, and food processing, among others. A phased, cluster-specific approach is being adopted to tailor interventions and ensure measurable outcomes.

Apart from Kochi, Bhuvneshwar, West Godavari of Andhra Pradesh was selected under ADEETIE Scheme for fisheries. Apart from Ambala, Firozabad, Chirkunda, East and West Godavari of AP have been selected for glass and refractory Sector.

The Union government sees this scheme as a pivotal tool not just for post-pandemic recovery, but for long-term sustainability, job creation, and achieving India’s climate and net-zero goals.

The ministry of power has specially acknowledged the proactive role of states like Andhra Pradesh, Telangana, Kerala, Karnataka and Tamil Nadu, while calling upon all states to rise to the occasion and make ADEETIE a turning point in India’s clean industrial growth.