Benefits of the Startup India Program-Part 1

Benefits of the Startup India Program

The Startup India Program is a Government of India initiative that helps startups. Here are a few benefits of this program.

Startup Scheme 1: Support for International Patent Protection in Electronics & Information Technology (SIP-EIT) Launched In: N/A Time Period: The scheme is valid upto 30.11.2019. Eligible For: MSMEs and technology startups in the ICTE sector. Headed by: Department of Electronics and Information Technology (DeitY) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: IT Services, analytics, enterprise software, technology hardware, Internet of Things, AI. Overview: The scheme, launched by the Indian government, aims to provide financial support to MSMEs and technology startup units for international patent filing to encourage innovation and recognise the value and capabilities of global IP along with capturing growth opportunities in the ICTE sector. Fiscal Incentives: Reimbursement will be limited to a total of INR 15 Lakhs per invention or 50% of the total expenses incurred in filing and processing of the patent application upto grant, whichever is lesser. Page 4 Startup

 Scheme 2: Multiplier Grants Scheme (MGS) Launched In: May 2013 Time Period: Period of incubation varies from 2-3 years Eligible For: Startups, incubator/academia/accelerators. Should have projects in electronics & information technology Headed by: Department of Electronics and Information Technology (DeitY) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: IT Services, analytics, enterprise software, technology hardware, Internet of Things, AI. Overview: The MGS aims to encourage collaborative R&D between industry and academics/R&D institutions for development of products and packages. Fiscal Incentives: The Government grants for individual industry would be limited to a maximum of INR 2 Cr per project and the duration of each project should, preferably, be less than two years. For industry consortiums, these figures would be INR 4 Cr and three years. Page 5

Startup Scheme 3: Software Technology Park (STP) Scheme Launched In: N/A Time Period: N/A Eligible For: Software companies Headed by: Software Technology Parks of India (STPI) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: IT services, fintech, enterprise software, analytics, AI. Overview: The STPI has been set up with the objective of encouraging, promoting, and boosting software exports from India. The STP Scheme, by the Indian government, provides statutory services, data communications servers, incubation facilities, training and value-added services. The scheme allows software companies to set up operations in convenient and inexpensive locations and plan their investment and growth, driven by business needs. Fiscal Incentives: Sales in the DTA up to 50% of the FOB value of exports is permissible and depreciation on computers at accelerated rates up to 100% over 5 years is permissible. Page 6

Startup Scheme 4: Electronic Development Fund (EDF) Policy Launched In: N/A Time Period: N/A Eligible For: Startups pursuing innovation in technology sectors like electronics, IT, and nanoelectronics. Headed by: Department of Electronics and Information Technology (DeitY) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: IT Services, analytics, enterprise software, technology hardware, Internet of Things, AI, nanotechnology. Overview: The agenda was envisaged to develop the Electronics System Design and Manufacturing (ESDM) sector to achieve “Net Zero Imports” by 2020. The EDF will help attract venture funds, angel funds and seed funds towards R&D and innovation in the specified areas. It will help create a cell of Daughter funds and Fund Managers who will be seeking good startups (potential winners) and selecting them based on professional considerations. Fiscal Incentives: The Electronic Development Fund (EDF) is set up as a “Fund of Funds” to participate in professionally-managed “Daughter Funds” which, in turn, will provide risk capital to companies developing new technologies. CANBANK Venture Capital Funds Ltd. (CVCFL) is the Fund Manager for EDF. Page 7

Startup Scheme 5: Modified Special Incentive Package Scheme (M-SIPS) Launched In: July 2012 Time Period: N/A Eligible For: Startups in electronic manufacturing Headed by: Department of Electronics and Information Technology (DeitY) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: Technology hardware, Internet of Things, aeronautics/aerospace & defence, automotive, non-renewable energy, renewable energy, green technology and nanotechnology. Overview: The scheme aims to support IPR awareness workshops/seminars for sensitising and disseminating awareness about Intellectual Property Rights among various stakeholders especially in the E&IT sector. Fiscal Incentives: This startup scheme by Indian government provides a capital subsidy of 20% in SEZ (25% in non-SEZ) for units engaged in electronics manufacturing. It also provides for reimbursements of CVD/ excise for capital equipment for the non-SEZ units. For some of the high capital investment projects like the scheme provides for Central Taxes and Duties reimbursement of Central Taxes and Duties. Page 8

Startup Scheme 6: Scheme to Support IPR Awareness Seminars/Workshops in E&IT Sector Launched In: N/A Time Period: The scheme is valid upto 30.11.2019. Industry Applicable: IT services, analytics, enterprise software, technology hardware, Internet of Things, AI. Headed by: Department of Electronics and Information Technology (DeitY) To know more about this startup scheme by the Indian Government, click here. Eligibility: This startup scheme by the Indian government is eligible for educational institutes and industry bodies like MAIT, ELCINA, CII, NASSCOM, FICCI, IESA, ASSOCHAM, etc., DeitY Society(ies) or DeitY Autonomous Body(ies). It is mandatory that the organisation should be registered with the Central Plan Scheme Monitoring System (CPSMS) portal, in order to apply for support for IP Awareness Workshop(s)/Seminar(s). Overview: The scheme provides IP (Intellectual Property) awareness workshops and seminars and funding grants. Fiscal Incentives: The organisations are provided with a grant of INR 2 Lakhs to INR 5 Lakhs. This includes educational institutes – INR 2 Lakhs, industry bodies – INR 3 Lakhs and DeitY Society(ies) or DeitY Autonomous Body(ies) – INR 5 Lakhs. Page 9

Startup Scheme 7: NewGen Innovation and Entrepreneurship Development Centre (NewGen IEDC) Launched In: N/A Time Period: N/A Headed by: NewGen Innovation and Entrepreneurship Development Centre (NewGen IEDC) To know more about this startup scheme by the Indian Government, click here. Eligible For: The parent institution should have requisite expertise and infrastructure. This includes a minimum dedicated space of about 5,000 square feet to establish a NewGen IEDC, library, qualified faculty, workshops, etc. Industry Applicable: Chemicals, technology hardware, healthcare & lifesciences, aeronautics/aerospace & defence, agriculture, AI, AR/VR (augmented + virtual reality), automotive, telecommunication & networking, computer vision, construction, design, non-renewable energy, renewable energy, green technology, fintech, Internet of Things, nanotechnology, social impact, food & Beverages, pets & animals, textiles & apparel. Overview: The NewGen IEDC is being promoted in educational institutions to develop an institutional mechanism to create an entrepreneurial culture in S&T academic institutions and to foster techno-entrepreneurship for generation of wealth and employment by S&T persons. As of now, there are total 40+ EDCs and 35 IEDCs in different states. Fiscal Incentives: The NSTEDB startup scheme by Indian government will provide a limited, one-time, non-recurring financial assistance, up to a maximum of INR 25 Lakhs. Also, non-recurring grants would be provided for supporting working capital cost. Page 10 Startup Scheme 8: The Venture Capital Assistance Scheme Launched In: N/A Time Period: This startup scheme is valid for the period between 2012-2017 Industry Applicable: Agriculture Headed by: Small Farmers‟ Agri-Business Consortium (SFAC) To know more about this startup scheme by the Indian Government, click here. Eligibility: Assistance under this scheme by Indian government will be available to individuals, farmers, producer groups, partnership/proprietary firms, self-help groups, companies, agri-preneurs, units in agri-export zones, and agriculture graduates individually or in groups for setting up agri-business projects. For professional management and accountability, the groups have to preferably form into companies or producer companies under the relevant Act. Overview: Venture Capital Assistance is financial support in the form of an interest-free loan provided by the SFAC to qualifying projects to meet the shortfall in capital requirements for implementation of the project.The Scheme was implemented during 2012-17 in the XII Plan. SFAC has formed tie-ups with 41 banks to provide financial support. Fiscal Incentives: The quantum of SFAC Venture Capital Assistance will depend on the project cost and will be the lowest of the following: > 26% of the promoter‟s equity. > INR 50 Lakhs for projects located in North-Eastern Region, Hilly States (Uttarakhand, Himachal Pradesh, Jammu & Kashmir) and in all cases in any part of the country where the project is promoted by a registered Farmer Producers Organisation, the quantum of venture capital will be the lowest of the following: > 40% of the promoter‟s equity. > INR 50 Lakhs Page 11 Startup

 Scheme 9: Performance & Credit Rating Scheme Launched In: August 2016 Time Period: N/A Industry Applicable: Sector-Agnostic Headed by: National Small Industries Corporation (NSIC) To know more about this startup scheme by the Indian Government, click here. Eligibility: MSMEs registered in India are eligible to apply under this scheme. In May 2017, the guidelines were revised which stated that a unit with a turnover of INR 1 Cr or above will be eligible under the scheme. Now the case of rating needs to be recommended by a bank or NBFC. Overview: The scheme aims to create awareness about the strengths and weaknesses of small-scale industries. It was formulated by the Ministry of MSME under the Indian government in consultation with various stakeholders i.e. Small Industries Associations & Indian Banks‟ Association and various rating agencies viz. CRISIL, ICRA, Dun & Bradstreet (D&B) and ONICRA. Fiscal Incentives: The incentives are proportional to the turnover of the MSMEs. For instance, up to INR 50 Lakhs, 75% of the rating fee or INR 25,000 (whichever is less) will be contributed under the scheme. For turnover above INR 50 Lakhs to INR 200 Lakhs, 75% of the fee or INR 30,000 (whichever is less) while for turnover more than INR 200 Lakhs, 75% of the fee or INR 40,000 (whichever is less). Page 12

Startup Scheme 10: Raw Material Assistance Launched In: N/A Time Period: N/A Industry Applicable: Sector-Agnostic Headed by: National Small Industries Corporation (NSIC) To know more about this startup scheme by the Indian Government, click here. Eligibility: MSMEs registered in India are eligible to apply under this scheme. Overview: This startup scheme aims at helping MSMEs by way of financing the purchase of raw material (both indigenous & imported), thereby giving an opportunity to MSMEs to focus on manufacturing quality products. Fiscal Incentives: Under this scheme by the Indian government, MSMEs will be helped to avail economics of purchases like bulk purchase, cash discount, etc. Also, all the procedures, documentation and issue of letter of credit in case of imports will be taken care of. Security will be in the form of Bank Guarantee from Approved/Nationalised Banks. MSMEs will get financial assistance for procurement of raw material up to In case outstanding dues are cleared within 270 days, micro enterprises will bear 9.5%- 10.5% interest while small and medium enterprises will have to pay 10% to 11% interest. Page 13

Startup Scheme 11: Revamped Scheme of Fund for Regeneration of Traditional Industries (SFURTI) Launched In: 2005 Time Period: Period of incubation is upto 3 Years Industry Applicable: Sector-Agnostic Headed by: Khadi and Village Industries Commission To know more about this startup scheme by the Indian Government, click here. Eligibility: Non-Government organisations (NGOs), institutions of the Central and State Governments and semi-Government institutions, field functionaries of State and Central Govt., Panchayati Raj institutions (PRIs), private sector by forming cluster specific SPVs, corporates and corporate social responsibility (CSR) foundations with expertise to undertake cluster development are eligible to apply under this scheme. Overview: The objectives of this scheme launched by the Indian government is to organise traditional industries and artisans into clusters to make them competitive and provide support for their long-term sustainability. At the same time, it also aims to enhance the marketability of products of such clusters, build up innovative and traditional skills, and more to gradually replicate similar models of cluster-based regenerated traditional industries. Fiscal Incentives: The financial assistance provided for any specific project shall be subject to a maximum of INR 8 Cr to support soft, hard and thematic interventions. Following is the budget limit per cluster: > Heritage Clusters (1,000-2,500 artisans) – INR 8 Cr/ cluster > Major Clusters (500-1,000 artisans) – INR 3 Cr / cluster > Mini-Clusters (Up to 500 artisans) – INR 1.5 crore/ cluster For NER/J & K and the Hill States, there will be 50% reduction in the number of artisans per cluster. Page 14

Startup Scheme 12: Single Point Registration Scheme (SPRS) Launched In: 2003 Time Period: 2 Years Industry Applicable: Sector-Agnostic Headed by: National Small Industries Corporation (NSIC) To know more about this startup scheme by the Indian Government, click here. Eligibility: All micro and small enterprises registered with the Director of Industries (DI)/District Industries Centre (DIC) as manufacturing/service enterprises or having an acknowledgement of Entrepreneurs Memorandum (EM Part-II) are eligible for registration under this scheme by the Indian government. Those who have already commenced their commercial production but not completed one year of existence, a Provisional Registration Certificate can be issued to them under SPRS scheme with a monitory limit of INR 5 Lakhs, valid for the period of one year from the date of issue. Overview: With a view to increasing the share of purchases from the small-scale sector, the Government Stores Purchase Programme was launched in 1955-56. NSIC registers micro & small enterprises (MSEs) under the Single Point Registration Scheme (SPRS) for participation in government purchases. Fiscal Incentives: The eligible micro and small enterprises will get an exemption from payment of Earnest Money Deposit (EMD) and will be issued tender sets free of cost. In tender participating, MSEs quoting price within the price band of L1+15 per cent shall also be allowed to supply a portion up to 20% of the requirement by bringing down their price to L1 Price where L1 is non-MSEs. Page 15

Startup Scheme 13: Aspire – Scheme for promotion of innovation, entrepreneurship, and agro-industry Launched In: March 2015 Time Period: Period of Incubation is up to 2 Years Industry Applicable: Agriculture, pets & animals, social impact, healthcare & life sciences Headed by: Steering Committee, Ministry of MSME To know more about this startup scheme by the Indian Government, click here. Eligibility: All MSMEs with an Entrepreneurs Memorandum (EM) registration. Overview: Aspire has been launched by the Indian government with an objective to set up a network of technology centres, incubation centres to accelerate entrepreneurship and also to promote startups for innovation and entrepreneurship in rural and agriculture-based industry. It also includes the setting up of Technology Business Incubators (TBIs). As per the June 2017 status report of Startup India Action Plan, 15 TBIs are being set up. 11 TBIs have been approved and four others are in advanced stages. Six Technical Business Incubators are in advanced stages of approval by DST. INR 34.92 Cr has been sanctioned and INR 15.3 Cr has been already disbursed to nine TBIs. Fiscal Incentives:  One-time grant of 50% of the cost of PlantØ & Machinery excluding the land and infrastructure or an amount up to INR 30 Lakhs, whichever is less to be provided for supporting 20 existing incubation centres.  One-time grant of 50% of the cost of PlantØ & Machinery excluding the land and infrastructure or an amount up to INR 100 Lakhs, whichever is less to be provided for setting up of new incubation centres.  Support would be provided for incubation of ideas at the inception stage, eachØ idea would be provided financial support @INR 3 Lakhs per idea to be paid up front to the incubator to nurture the idea, with a target to support 450 ideas. Page 16  A one-time grant of INR 1 Cr will be provided to the eligible incubator as SeedØ Capital. The Incubator will invest as Debt/ Equity funding upto 50% of total project cost or INR 20 Lakhs per startup, whichever is less. 150 such innovative and successful ideas to be supported.  INR 200 Lakhs for Accelerators to hold 10 workshops for incubates [out of theØ existing centres supported and new centres set up] to assist for creating successful business enterprises. Plans to conduct 10 such workshops. Page 17

Startup Scheme 14: Coir Udyami Yojana Launched In: N/A Time Period: Period of incubation is upto 7 Years Industry Applicable: Agriculture Headed by: Coir Board To know more about this startup scheme by the Indian Government, click here. Eligibility: All coir processing MSME units registered with the Coir Board under Coir Industry (Registration) Rules, 2008 are eligible under this scheme by the Indian government. There will be no income ceiling for assistance for setting up of a project under the Coir Udyami Yojana. Assistance under the Scheme will be made available to individuals, companies, self-help groups, non-governmental organisations, institutions registered under the Societies Registration Act 1860, production co-operative societies, joint liability groups, and charitable trusts. However, the units that have already availed a Govt. subsidy under any other Scheme of Govt. of India or State Govt. for the same purpose are not eligible to claim a subsidy.Overview: The scheme aims to support the setting up of coir units with a project cost upto INR 10 Lakhs plus one cycle of working capital, which shall not exceed 25% of the project cost. The banks shall consider a composite loan instead of a term loan to cater to the working capital requirements. This should be exclusive of INR 10 Lakhs limit proposed. However, the subsidy will be computed excluding working capital component. Fiscal Incentives: Banks will finance capital expenditure in the form of a term loan and working capital in the form of cash credit. Projects can also be financed by the bank in the form of composite loans consisting of cap ex and working capital. The amount of credit will be 55% of the total project cost after deducting 40% margin money (subsidy) and owner‟s contribution of 5% from beneficiaries. Page 18

 Startup Scheme 15: International Cooperation (IC) Scheme Launched In: 1996 Time Period: N/A Industry Applicable: Travel & tourism, human resources, events, advertising Headed by: Office of the Development Commissioner (MSME) To know more about this startup scheme by the Indian Government, click here. Eligibility: State/Central Government Organisations, Industry/Enterprise Associations, and Registered Societies/Trusts and Organisations associated with the MSME are eligible to apply under this scheme. The organisation should be registered with the primary objective of promotion and development of MSMEs. It should be engaged in such activities for at least three years and should have regular audited accounts for the past three years. Events, for which financial support under the Scheme is sought, must have significant international participation. Overview: Under this scheme by the Indian government, financial assistance for travel and marketing expenditures relating to the development of the MSME sector in India is supported by the department. The objective is to make MSMEs internationally competitive by technology infusion/upgradations, modernisation of MSMEs, and promotion of exports of MSMEs. Fiscal Incentives: The incentives vary as per the category of organisation. For instance, MSME gets 100% of the economy class airfare subject to a maximum of INR 1.5 Lakhs or actual fare paid, whichever is lower. On the other hand, off bearer of the applicant organization also gets an additional duty allowance of INR 150 per day along with the airfare subjected to limitations above. MSMEs also get 100% of the space rent subject to a maximum of INR 1 Lakh or actual rent paid, whichever is lower. Common expenses such as freight & insurance, local transport, secretarial/ communication services, printing of common catalogs may be funded as well. Page 19

Startup Scheme 16: Credit Linked Capital Subsidy for Technology Upgradation Launched In: N/A Time Period: N/A Industry Applicable: Sector-agnostic Headed by: Office of the Development Commissioner (MSME) To know more about this startup scheme by the Indian Government, click here. Eligibility: Existing SSI Units registered with the State Directorate of Industries that have upgraded their existing plant and machinery with state-of-the-art technology, with or without expansion are eligible under this scheme. Also, new SSI Units which are registered with the State Directorate of Industries which have their facilities only with the appropriate eligible and proven technology duly approved by the GTAB/TSC will be eligible. Overview: This startup scheme by the Indian government – aims at facilitating technology upgradations by providing upfront capital subsidy to small scale industry (SSI) units, including khadi, village, and coir industrial units, on institutional finance (credit), availed by them for modernization of their production equipment (plant and machinery) and techniques. Fiscal Incentives: The Ceiling on loans under the scheme has been raised from INR 40 Lakhs to INR 1 Cr while the rate of subsidy has been enhanced from 12% to 15%. Here, the admissible capital subsidy is calculated with reference to the purchase price of plant and machinery, instead of term loan disbursed to the beneficiary unit. P

Startup Scheme 17: Bank Credit Facilitation Scheme Launched In N/A Time Period: 5 – 7 Years Industry Applicable: Sector-agnostic Headed by National Small Industries Corporation (NSIC) To know more about this startup scheme by the Indian Government, click here. Eligibility: MSMEs registered in India Overview: The scheme aims to meet the credit requirements of MSME units. NSIC has entered into a Memorandum of Understanding with various nationalized and private sector banks. Through syndication with these banks, NSIC arranges for credit support (fund- or non-fund-based limits) from banks without any cost to the MSMEs. Fiscal Incentives: N/A. Page 21 Startup

Scheme 18: Atal Incubation Centers (AIC) Launched In N/A Time Period: N/A Headed by National Small Industries Corporation (NSIC) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: Chemicals, technology hardware, healthcare & life sciences, aeronautics/aerospace & defence, agriculture, AI, AR/VR (augmented + virtual reality), automotive, telecommunication & networking, computer vision, construction, design, non-renewable energy, renewable energy, green technology, fin-tech, Internet of Things, nanotechnology, social impact, food & beverages, pets & animals, textiles & apparel. Eligibility: AICs can be established in public/private/public-private partnership mode. These can be established in: Academia – includes higher educational institutes and R&D institutions. Non-academic – includes companies/ corporates/ technology parks / industrial parks/ any individual/ group of individuals. Overview: AICs are set up under the Atal Innovation Mission (AIM). AICs aim to support and encourage startups to become successful enterprises. They will provide necessary and adequate infrastructure along with high-quality assistance or services to startups in their early stages of growth. As per June 16, 2017, the Startup India Action Plan status report, NITI Aayog has approved 10 institutes to establish new incubators with a grant of INR 10 Cr each. Fiscal Incentives: AIM will provide a grant-in-aid of INR 10 Cr to each AIC for a maximum of five years to cover the capital and operational expenditure cost in running the center. The applicant would have to provide a built-up space of at least 10,000 sq. ft to qualify for financial support. Page 22 Startup

Scheme 19: Atal Tinkering Laboratories (ATL) Launched In July 2016 Time Period: N/A Headed by Atal Innovation Mission To know more about this startup scheme by the Indian Government, click here. Industry Applicable: Chemicals, technology hardware, healthcare & life sciences, aeronautics/aerospace & defense, agriculture, AI, AR/VR (augmented + virtual reality), automotive, telecommunication & networking, computer vision, construction, design, non-renewable energy, renewable energy, green technology, fin-tech, Internet of Things, nanotechnology, social impact, food & Beverages, pets & animals, textiles & apparel. Eligibility: Schools (Grade VI-XII) managed by the Government, local body or private trusts/society can apply to set up an ATL. Overview: The objective of this startup scheme by the Indian government is to foster curiosity, creativity, and imagination in young minds; and inculcate skills such as design mindset, computational thinking, adaptive learning, physical computing etc. As per the Startup India Action Plan, 500 Tinkering Labs are to be established. NITI Aayog has selected 457 schools for establishing Tinkering Labs. Of the selected, 350 Tinkering Labs have received a Grant-in-Aid of INR 12 Lakhs each. Earlier this month, NITI Aayog CEO Amitabh Kant stated that this year, the Atal Innovation Mission (AIM) scheme will look to select 1,000 schools. They will receive a grant of about $31K (INR 20 Lakhs) each. The money will be utilized to set up tinkering labs to foster innovation. Fiscal Incentives: AIM will provide grant-in-aid that includes a one-time establishment cost of INR 10 Lakhs and operational expenses of INR 10 Lakhs for a maximum period of five years to each ATL. 

Startup Scheme 20: Scale-up Support for Establishing Incubation Centres Launched In N/A Time Period: N/A Headed by NITI Aayog To know more about this startup scheme by the Indian Government, click here. Industry Applicable: Chemicals, technology hardware, healthcare & life sciences, aeronautics/aerospace & defence, agriculture, AI, AR/VR (augmented + virtual reality), automotive, telecommunication & networking, computer vision, construction, design, non-renewable energy, renewable energy, green technology, fin-tech, Internet of Things, nanotechnology, social impact, food & Beverages, pets & animals, textiles & apparel. Eligibility: To avail the benefits of this startup scheme by the Indian government, the startup should be a legal entity registered in India as a public, private, or public-private partnership and must be in the operation for a minimum of three years. Overview: This startup scheme envisages to augment the capacity of the Established Incubation Centres in the country. It will provide financial scale-up support to enable Established Incubation Centers. The scheme would radically transform the startup ecosystem in the country by upgrading the Established Incubation Centres to world-class standards. Fiscal Incentives: Grant-in-aid support of INR 10 Cr will be provided in two annual installments of INR 5 Cr each. Page 24 Startup

Scheme 21: Enhancement of Competitiveness in the Indian Capital Goods Sector Launched In: November 2015 Time Period: N/A Headed by Department of Heavy Industries (DHI) To know more about this startup scheme by the Indian Government, click here. Industry Applicable: Chemicals, technology hardware, healthcare & life sciences, aeronautics/aerospace & defence, agriculture, automotive, construction, non-renewable energy, renewable energy, green technology, Internet of Things, nanotechnology, social impact, food & beverages, textiles & apparel. Eligibility: Indian capital goods sector unit or their consortium. Overview: The scheme objective is to boost the Indian economy by making Indian Capital Goods Sector is globally competitive. The Technology Acquisition Fund Programme (TAFP) under the scheme provides financial assistance to existing capital goods industrial units for acquiring/ transferring and assimilating advanced technologies and also the development of technologies through contract route, in-house route or through the joint route of contract in order to achieve global standards and competitiveness. Fiscal Incentives: Selected startups will get a one-time grant up to 25% of the cost of the technology acquisition of each technology. Maximum amount given shall not exceed INR 10 Cr. Page 25

Startup Scheme 22: Bridge Loan Against Generation-Based Incentive (GBI) Claims Launched In N/A Time Period: N/A Industry Applicable: Renewable energy, clean energy, green energy Headed by: Indian Renewable Energy Development Agency (IREDA) To know more about this startup scheme by the Indian Government, visit related websites. Eligibility: Renewable energy developers who have already submitted a valid GBI claim under GBI Scheme with the Indian Renewable Energy Development Agency (IREDA), which is processed and pending for the release of payment on account of nonavailability of funds, will be eligible under this scheme. Overview: GBI loans were announced for grid-interactive wind and solar power projects. The main aim is to broaden the investor base, facilitate the entry of large independent power producers and to provide a level playing field to various classes of investors. Fiscal Incentives: A minimum loan assistance of INR 20 Lakhs is provided under this scheme. Loan amount to be recovered out of GBI proceeds received/to be received from MNRE. A shortfall, if any, will be recovered from the borrower, which will be payable on demand. Page 26

Startup Scheme 23: Loan for Rooftop Solar PV Power Projects Launched In: July 2015 Time Period: N/A Industry Applicable: Renewable energy, clean energy, green energy Headed by: Indian Renewable Energy Development Agency (IREDA) To know more about this startup scheme by the Indian Government, visit related websites. Eligibility: This scheme by the Indian government is available for all grid-connected/interactive solar PV projects located on rooftops. Applications can be submitted under Aggregator Category and Direct Category. For the aggregator category minimum project capacity to be submitted shall be at least 1,000 kWp and a minimum capacity of subprojects under this mode shall not be less than 20 kW. For the direct category, applicants shall include projects from single roof owners only. The minimum project capacity to be submitted shall be at least 1,000 kWp. Private sector companies/firms, central public sector undertaking (CPSU), state utilities/ discoms/ transcos/ gencos/ corporations and joint sector companies can apply for the loan. Overview: This startup scheme aims to support all grid-connected/interactive solar PV projects located on rooftops. Fiscal Incentives: The quantum of a loan from the IREDA shall be 70% of the project cost with a minimum promoter‟s contribution of 30%. However, the IREDA may extend the loan up to 75% of the project cost based on the credit-worthiness of the promoter, track record, project parameters, etc. The maximum repayment period for the loan shall be up to nine years, with a moratorium period of 12 months from the date of the COD of the project. The maximum construction period shall be 12 months from the first disbursement. Page 27

Startup Scheme 24: IREDA-Credit Enhancement Guarantee Scheme Launched In October 2016 Time Period: 15 years Industry Applicable: Renewable energy, clean energy, green energy Headed by Indian Renewable Energy Development Agency (IREDA) To know more about this startup scheme by the Indian Government, visit related websites. Eligibility: Commercially viable, grid-connected renewable energy projects (solar/wind) with a minimum average DSCR of 1.2 can apply under the scheme. Also, the minimum issue size of the proposed bonds should not be less than INR 100 Cr. Overview: This scheme by the Indian government acts as a non-fund partial credit guarantee instrument for project developers/ promoters to raise bonds against commissioned and operationally viable renewable energy projects. Fiscal Incentives: The IREDA will provide credit enhancement by way of unconditional and irrevocable partial credit guarantee to enhance the credit rating of the proposed bonds. The IREDA can extend guarantee up to 25% of the proposed issue size of the bonds and, in any case, it should not be more than 20% of total capitalized project cost. The guarantee fee to be charged by the IREDA shall be in the range of 1.8%-2.9% p.a. of its exposure.