Page 2 - Subsidy

Centre approves Rs 22,303 cr subsidy on P&K fertilizers for rabi season

The FY24 Budget had estimated the subsidy expenditure on non-urea fertilisers at Rs 44,000 crore for the 2023-24 financial year

Uttarakhand CM releases Rs 90 crore subsidy to 40 industrial units

Uttarakhand Chief Minister Pushkar Singh Dhami on Saturday transferred a subsidy of Rs 90 crore to 40 industrial units under the Industrial Development Scheme. Under the Central Government's Industrial Development Scheme, 2017, manufacturing and service sector units established in Uttarakhand and Himachal Pradesh are given a subsidy of 30 per cent up to a maximum of Rs 5 crore on the investment made in plant and machinery. After transferring this grant amount to the accounts of 40 industrial units established in Uttarakhand, the chief minister said that this is a very important scheme for the promotion and expansion of industries in the state. Dhami thanked Prime Minister Narendra Modi and Union Commerce and Industry Minister Piyush Goyal for the grant of subsidy. Dhami said that the state government is continuously making efforts to promote industries in Uttarakhand and the 'Uttarakhand Global Investors Conference' is being organized in December to boost the sector. He said that

Govt shifts into high gear to expand subsidies to alternative fuel vehicles

According to a senior government official, there is a proposal to incorporate vehicles powered by alternative sources such as hydrogen and biofuels in the upcoming phase of FAME

Subsidy of Rs 150 cr distributed under PM's Employment Generation Programme

In the presence of KVIC Chairman Manoj Kumar, these fundamental agreements were signed with Prasar Bharati, NBCC (India) Limited, and Digital India Corporation, said an official statement

Himanta Biswa's wife got Rs 10 cr govt subsidy; Assam CM denies Cong charge

Assam Chief Minister Himanta Biswa Sarma clarified that neither his wife nor the company she is associated with has ever received any financial subsidies from the Centre

Electric two-wheelers push for DBT under FAME 3 subsidy scheme to consumers

Say huge delay in government's subsidy reimbursements choking their working capital

Pak caretaker FM rules out relief in power bills, says no space for subsidy

"Please manage your expectations," she said apparently after engagements with International Monetary Fund over government's desire for some programme relaxations to provide relief in power bills

Economic situation worse than anticipated, no space for subsidies: Pak FM

As protests continue across Pakistan against surging electricity bills, interim Finance Minister Shamshad Akhtar on Wednesday said the country's economic situation is "worse than anticipated" and was no "fiscal space" for subsidies to ease the burden of the people due to non-negotiable commitments with the IMF. Pakistan secured a crucial USD 3 billion loan from the Washington-based global lender in June under strict conditions that included raising power tariffs and phasing out all subsidies. During a meeting of the Senate's Standing Committee on Finance, Akhtar asserted that the interim set-up has inherited the IMF programme, hence, it was non-negotiable. Pakistan's economic situation, she said, was worse than anticipated and the government did not have fiscal space to provide subsidies, the Dawn newspaper reported. The minister said government institutions are suffering unbearable losses and underscored the need to accelerate privatisation, adding that 70 per cent of Pakistan's t

Govt plans to curb subsidised-urea diversion to plywood, other industries

The government has prepared a comprehensive action plan to crackdown on diversion of highly-subsidised urea to plywood and other industries, and violators could even face a jail term, according to official sources. The Union chemicals and fertilisers ministry will coordinate with other central ministries as well as states to curb the diversions and plans are also afoot to launch joint operations to prevent the diversion of agriculture-grade urea, the sources in the know said. Earlier this week, Union Chemicals and Fertilisers Minister Mansukh Mandaviya asked states and Union Territories to curb diversion of agriculture-grade urea to industries. Neem-coated urea is provided by the central government to farmers at a highly subsidised rate of Rs 266 per bag (of 45 kilograms), which is much cheaper than technical-grade urea meant for industrial use. In this backdrop, there are instances of diversion of agriculture-grade urea to industries that make resin/glue, plywood, crockery, mouldi

Electric 2-wheeler demand slowing down due to reduced subsidy: CARE Ratings

The reduction in FAME subsidy is slowing down demand for electric two wheelers and the manufacturers will now have to focus on achieving price reduction through R&D and innovation, a report said on Thursday. The medium term sales trajectory for two wheelers, which include e-two wheelers as well, is anticipated to be modest, characterised by uncertainties and driven by a host of factors, it said. In its report, CARE Ratings said the core segments of two wheelers, specifically the 75 cc - 110 cc range in motorcycles and the 75 cc - 125 cc range in scooters, have shown a sharp sales volume decline from FY19 to FY22, with a slight recovery seen in FY23. Sales of electric two wheelers also significantly declined in Q1 FY24 due to the government withholding FAME subsidies for certain Original Equipment Manufacturers (OEMs), it said. Additionally, the report said that a subsidy reduction to Rs 10,000 per kWh from Rs 15,000 per kWh and 15 per cent of the ex-factory price from 40 per cent .

Electric 2-wheeler firms suffer over Rs 9,000 cr loss after subsidies stop

Seven electric two-wheeler companies have suffered a cumulative loss of over Rs 9,000 crore on account of unpaid dues and loss of market after their subsidies were stopped last year, the Society of Manufacturers of Electric Vehicles (SMEV) said on Wednesday. These companies have also been directed by the govt to refund the subsidies availed by them. The audit by SMEV's chartered accountants indicates the total, cumulative damages to affected companies could account for over Rs 9,000 crore on a conservative basis, it noted. This cursory audit estimates cumulative losses on account of unpaid dues, interest, debt, loss of market share, reputational loss, cost of capital and potential recapitalisation, to around Rs 9,075 crore ever since the Ministry of Heavy Industries held up their subsidies since 2022, SMEV said. The fact is some may never recover, and some may just wind up, it added. Highlighting the need for a speedy resolution, SMEV Chief Evangelist Sanjay Kaul pointed out it is

Tea Board should have authentic database of industry for subsidy: CAG

The government auditor CAG on Tuesday said that the Tea Board should have authentic database of the industry for formulation of policies and implementation of various subsidy schemes. However, Tea Board did not maintain a database regarding areas of extensions of tea plantations, replacement and replanting of tea, age of tea bushes, district-wise yield, and labour productivity rate of the tea industry. It also said that the board has disbursed subsidy amounting to Rs 12.87 crore without adhering to certain guidelines under various schemes such as Plantation Development Scheme, Quality Upgradation and Product Diversification Scheme and Orthodox and Green Tea Production Scheme. It said that although the levy of fees for the issuance of planting permits was approved by the Board, non-collection of the same has resulted in the loss of revenue of Rs 41.36 lakh. "Due to delay in implementation of provisions of Goods and Services Tax (GST), Tea Board did not collect the same on licenses .

Customers be asked to refund rebate on EV purchases amid subsidy revocation

Facing heat over alleged misuse of subsidies, a grouping of seven electric two-wheeler makers on Friday urged the government to look at the possibility of asking customers to pay back excess rebate availed by them on purchase of the vehicles. In a letter to Minister of Heavy Industries M N Pandey, the Society of Manufacturers of Electric Vehicles (SMEV) said the customers who have taken such subsidies can be asked to return these to the affected OEMs. The Centre has sought Rs 469 crore from seven electric two-wheeler makers, including Hero Electric and Okinawa for claiming incentives while not complying with the Faster Adoption and Manufacturing of Electric Vehicles (FAME) II scheme norms. "This is about the subsidies your department has claimed back from OEMs on retrospective basis: And this also holds for the Rs 1,200 crores that the OEMs claim remains un-reimbursed," Society of Manufacturers of Electric Vehicles (SMEV) Chief Evangelist Sanjay Kaul said in the letter. SMEV has ..

Govt reduces price of subsidised tomato to Rs 70 from Rs 80 per kg

The Union government has reduced prices of subsidised tomatoes to Rs 70 per kilogramme from Thursday from Rs 80 per kg now to provide relief to common man from high retail prices. The Centre is selling tomatoes to people at a subsidised rate of Rs 80 a kg in Delhi-NCR and some other key cities through the National Cooperative Consumers' Federation of India (NCCF) and the National Agricultural Cooperative Marketing Federation of India (NAFED). The all-India average retail prices of tomatoes is ruling at nearly 120 per kg, although the key kitchen item is selling as high as Rs 245 per kg at some places. In the national capital, the rate has come down to Rs 120 per kg. "The Department of Consumer Affairs has directed NCCF and NAFED to sell tomatoes at retail price of Rs 70 per kg rate from July 20, 2023 in view of the declining trend in tomato prices," an official statement said. The tomatoes procured by NCCF and NAFED had been retailed, initially, at Rs 90 per kg and then reduced to

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Govt prepares new multibillion-dollar battery subsidy scheme: Report

The draft proposal for a production-linked incentive subsidy scheme would offer Rs 21,600 crore ($2.63 billion) from this year through to 2030 for companies

Late push to extend coal subsidies upsets EU deal on energy reforms

The proposed reform aims to make power prices more stable and predictable, by putting new state-backed renewables and low-carbon nuclear plants onto fixed-price contracts for difference

India is committed to Indian Ocean nations' well being: EAM Jaishankar

Initiatives taken by the textiles ministry has led to registering of case by the CBI against six officials of the office of Textile Commissioner, Navi Mumbai relating to fraudulent claim of subsidy, a senior government official said. Textiles Minister Piyush Goyal gave its approval for detailed CBI investigation into the case following the "zero tolerance policy" against corruption. The CBI, according to the reports, has registered a case against the six officials and six Bhiwandi-based suppliers for allegedly claiming subsidies worth about Rs 6.5 crore in a fradulent manner. The subsidies were meant for power-loom sector for modernisation. The accused had used fake stamp papers to claim these subsidies. "The ministry had informed the CBI about the irregularities observed in the implementation of in-situ upgradation scheme for plain power looms by Textile Commissioner," the official added. Under the subsidy scheme under which power looms were given financial assistance for in-situ

Waiting to resolve subsidy deadlock, recover Rs 500 cr: Hero Electric CEO

Hero Electric said that they are awaiting communication from the Ministry of Heavy Industries towards quickly resolving the subsidy deadlock, which could be the first step to help the EV company

Discoms to submit report on electricity subsidy to Centre every quarter

The draft rules suggest penalties to be levied on discoms for faulty subsidy accounting, raising erroneous subsidy bills