News: Union Minister for Power and Housing & Urban Affairs launches ADEETIE Scheme to Accelerate Industrial Energy Efficiency in India. ADEETIE Scheme
About ADEETIE Scheme
- Full name: Assistance in Deploying Energy Efficient Technologies in Industries & Establishments (ADEETIE) scheme
- It is an 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.
- Nodal Ministry: Ministry of Power
- Implementing Agency: Bureau of Energy Efficiency (BEE)
- Key Features
- Interest Subvention Support: MSMEs can avail 5% interest subvention for Micro & Small Enterprises and 3% for Medium Enterprises on loans for adopting energy-efficient technologies.
- The scheme specifically excludes larger corporations, aiming instead to address the needs of smaller enterprises where barriers to green technology adoption have been most pronounced.
- End-to-End Technical Support: ADEETIE provides full handholding support—including investment-grade energy audits, DPR preparation, technology identification, and monitoring & verification of implementation.
- Target Sectors: The scheme covers 14 energy-intensive sectors: Brass, Bricks, Ceramics, Chemicals, Fishery, Food Processing, Forging, Foundry, Glass, Leather, Paper, Pharma, Steel Re-rolling, and Textiles.
- Implementation Approach: ADEETIE will follow a phased roll-out, beginning with 60 industrial clusters in the first phase, followed by an additional 100 clusters in the second phase.
- Implementation Period: The scheme will be implemented over three years, spanning FY 2025-26 to FY 2027-28, allowing for progressive deployment, course correction, and scaling based on early outcomes.
- Budget & Impact: Total outlay of ₹1000 crore, comprising:
- ₹875 crore for interest subvention
- ₹50 crore for Investment Grade Energy Audit support
- ₹75 crore for handholding support through BEE
- Expected outcomes: Expected to catalyze ₹9000 crore in investments, including ₹6750 crore of MSME lending.
- Interest Subvention Support: MSMEs can avail 5% interest subvention for Micro & Small Enterprises and 3% for Medium Enterprises on loans for adopting energy-efficient technologies.
