Niti suggests ₹13K cr schemes for MSME decarbonisation

Proposes ₹6,000 crore for viability gap funding and 7,000 crore for anew PM-Suryaghar-like scheme

- DHRUVAKSH SAHA

The Niti Aayog has estimated an emission reduction potential of 27-36 million tonne over the implementation period of the scheme as MSMEs adopt green electricity over the next decade.

With India’s micro, small and medium enterprises (MSMEs) facing the challenge of energy transition, the government could launch a PM-Suryaghar-like scheme that provides capital subsidies for green energy, and a viability gap-funding (VGF) scheme for energy efficient solutions, the Niti Aayog has recommended.

“For MSMEs, energy is one of their highest input costs and efficiency is deeply linked to their business viability and growth. It also affects their technology processes. In the export market, with all the regulations in place, if the MSME sector does not decarbonise soon, the challenges in the trade sector would deepen further,” said S C L Das, Union MSME secretary.