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Union Government Launches ADEETIE Scheme to Boost Industrial Energy Efficiency

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Context:

The Union Ministry of Power launched the ADEETIE scheme at a national rollout event in Panipat, Haryana, targeting energy efficiency improvements in India’s industrial sector, particularly MSMEs. The scheme is being implemented by the Bureau of Energy Efficiency (BEE).

What is ADEETIE?

  • Full Form: Assistance in Deploying Energy Efficient Technologies in Industries & Establishments
  • Objective: To catalyze low-carbon industrial growth through clean and energy-efficient technologies
  • Target Group: Primarily Micro, Small, and Medium Enterprises (MSMEs)

Budget and Duration

  • Total Outlay: ₹1,000 crore
  • Duration: FY 2025–26 to FY 2027–28
  • Break-up:
    • ₹875 crore for interest subvention
    • ₹50 crore for investment-grade energy audits
    • ₹75 crore for technical handholding & capacity building

Core Objectives

  • Reduce industrial energy consumption and carbon footprint
  • Support MSMEs in adopting modern, energy-efficient technologies
  • Improve India’s energy intensity and support Net Zero and Viksit Bharat @2047 targets

Key Features

Interest Subvention Scheme

  • Micro & Small Enterprises: 5% interest subsidy
  • Medium Enterprises: 3% interest subsidy

Technical Handholding Support

  • Energy Audits (Investment-grade)
  • DPR (Detailed Project Report) preparation
  • Support in technology implementation
  • Post-installation Monitoring & Verification (M&V)

Digital Enablement

  • Online portal for application tracking, audit submission, and fund disbursal

Cluster-Based Implementation

  • Phase I: 60 industrial clusters
  • Phase II: 100 additional clusters
  • Focus on energy-intensive sectors like textiles, chemicals, food processing, etc.

Eligibility Criteria

  • Must be a registered MSME operating in eligible industrial clusters
  • Willingness to participate in audits, prepare DPRs, and adopt recommended technologies
  • Preference to early adopters and high energy-consuming sectors

PIB

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