Rs 10 Billion Scheme Launched to Boost MSME Energy Efficiency

01 Aug 2025 CW Team

The Ministry of Power has introduced the ADEETIE scheme (Assistance in Deploying Energy Efficient Technologies in Industries and Establishments), a Rs 10 billion initiative aimed at advancing energy efficiency across India’s Micro, Small, and Medium Enterprises (MSMEs).

Launched nationally from Panipat and executed by the Bureau of Energy Efficiency (BEE), the scheme seeks to modernise India’s industrial backbone through the adoption of cutting-edge, energy-efficient technologies.

Out of the total funding, Rs 8.75 billion has been allocated for interest subvention to facilitate affordable financing for MSMEs seeking to upgrade their energy infrastructure. A further Rs 500 million will go towards implementation support and capacity-building efforts.

The scheme is projected to attract over Rs 90 billion in overall investments from the sector and offers a structured support system including Investment Grade Energy Audits (IGEA), Detailed Project Reports (DPRs), financial facilitation, and Monitoring & Verification (M&V) mechanisms. These components are designed to ensure measurable improvements in energy usage, production costs, and overall industrial efficiency.

Akash Tripathi, Additional Secretary at the Ministry of Power and Director General of BEE, described ADEETIE as a “game-changer” and urged states to swiftly initiate implementation to unlock its benefits.

States have been directed to activate their State Designated Agencies (SDAs) to identify suitable industrial clusters, spread awareness, and support MSMEs in making the transition to energy-efficient systems. BEE Secretary Milind Deore also highlighted the critical role of state-level engagement in scaling the initiative.

ADEETIE focuses on 60 industrial clusters and 14 high-energy-consuming sectors, such as textiles, food processing, and foundries. Specific regions selected include West Godavari (for fisheries), East and West Godavari, Ambala, Firozabad, and Chirkunda (for the glass industry).

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