Khattar introduces ADEETIE scheme to upgrade MSMEs with energy-efficient tech

The ₹1,000 crore scheme is an initiative of the Ministry of Power implemented by the Bureau of Energy Efficiency (BEE) to provide financial and technical support to Micro Small and Medium Enterprises (MSMEs) in adopting energy-efficient technologies. 

The Union Minister of Power and Housing and Urban Affairs, Manohar Lal Khattar launched the Assistance for Deployment of Energy Efficient Technologies in Industrial Establishments (ADEETIE) scheme at Arya PG College addressing entrepreneurs and MSME representatives. The ₹1,000 crore scheme is an initiative of the Ministry of Power implemented by the Bureau of Energy Efficiency (BEE).

The Scheme is structured to provide end -to-end hand holding through subvention on loans, Investment Grade Energy Audits (IGEA), Detailed Project Reports (DPRs), and post-implementation Monitoring and Verification (M&V). The scheme aims to offer a 5 percent interest subvention for Micro and Small Enterprises and a 3 percent interest subvention for Medium Enterprises on loans for energy efficiency projects.

Khattar said, “The scheme is a landmark initiative to provide financial and technical support to Micro, Small, and Medium Enterprises (MSMEs) in adopting energy-efficient technologies and is also a decisive step towards India’s low-carbon economy. Under this, 5 percent interest subvention will be provided for micro and small enterprises and 3 percent for medium enterprises, making it more accessible and affordable for MSMEs to adopt energy-efficient projects. The proposed technologies under the scheme can lead to 30-50 percent energy savings in MSMEs, enhancing the power-to-product ratio and promoting the development of green energy corridors.”

Pankaj Agarwal, Power Secretarysaid, “BEE is scaling up energy efficiency projects and mainstreaming them across India’s industrial ecosystem. This scheme focuses on widespread adoption across 14 energy-intensive sectors and 60 identified clusters in the initial phase. Need for a supportive policy and financing framework to empower MSMEs as key drivers of climate action.”

BEE’s Additional Secretary and Director General, Akash Tripathi highlighted that the scheme will provide technical and financial support to MSMEs, in which ₹875 crore is dedicated for interest subvention, ₹50 crore for energy audit and ₹75 crore for implementation support in the budgetary provision of ₹1,000 crore. India’s ADEETIE rollout is a significant step towards its energy efficiency mission enabling MSMEs to adopt cleaner technologies, boost productivity and contribute to a greener industrial ecosystem.