Subsidy on Power Generating Set (Mizoram Industrial Policy 2012)

What is the Subsidy on Power Generating Set in Mizoram?

Subsidy on Power Generating Set is the eighth state incentive subsidy head in the Mizoram Industrial Policy 2012, run by the Directorate of Industries under the Commerce & Industries Department, Government of Mizoram. Subsidy on Power Generating Set meets half the cost of a captive generator and its installation, up to Rs 3,00,000 per unit.

This is the largest capped incentive in the 2012 table; six times the Rs 50,000 power line cap and twice the total five-year value of the factory rent subsidy. That weighting reflects a plain operational fact in Mizoram. Grid supply in a hill state with long, exposed distribution lines is interruptible, and a manufacturing unit that loses power mid-batch loses the batch. A captive generating set is not a luxury for a food processing, bamboo, printing or textile unit here; it is a condition of running at all.

Subsidy on Power Generating Set is a one-time capital incentive. It sits between the two other electricity heads in the same table: Subsidy on Power Line, which pays 50 per cent up to Rs 50,000 of the cost of getting connected to the grid, and Power Subsidy, which reimburses 60 per cent of a micro unit's ongoing consumption bill for five years.

Who can claim the Subsidy on Power Generating Set?

You can claim if:

• The enterprise is a new MSME in Mizoram with valid Udyam Registration.
• The claim falls within 5 years from the date of commencement of production.
• The unit has purchased a captive generating set for its own use, with an invoice in the enterprise's name.
• The set has been installed at the unit's premises, and the installation charge is documented.
• The enterprise, not a third party, has borne the cost.

You are not eligible if:

• More than 5 years have passed since production commenced; such units cannot apply under this head.
• The generating set was supplied free, provided by a landlord, or funded in full by another government scheme.
• The invoice is in a personal name rather than the enterprise's.
• The set is installed at a residence or a site other than the unit.
• The enterprise is a trading, retail or service business rather than an industrial unit.
• The Rs 3,00,000 entitlement has already been drawn for the same unit.

The 2012 policy's general conditions apply as well: micro and small enterprises in Mizoram are reserved for indigenous people of the state, and foreign or outside investment is permitted only in the medium and large sector, in joint venture mode with a local entrepreneur or a state public sector undertaking.

How much does the generating set subsidy pay?

The cap binds on any purchase above Rs 6,00,000 including installation. Below that, the unit recovers exactly half.

Including the installation charge in the eligible cost is a meaningful detail that units often overlook. Foundation work, cabling to the panel, an acoustic enclosure and the electrician's charges can add a fifth to the price of the machine, and all of it counts, provided it is separately billed and paid.

What documents are required?

How to apply for the Mizoram Power Generating Set Subsidy

1. Assess the load the unit actually needs and buy a captive generating set of appropriate capacity, insisting on a GST invoice in the enterprise's name that states make, model and kVA rating.
2. Get the set installed at the unit's premises and obtain a separate bill for the installation charge, since that cost is eligible too.
3. Pay both bills from the enterprise's bank account, so that payment can be traced to the unit rather than to an individual.
4. Buy the prescribed application form for this subsidy head at Rs 50 from the Directorate of Industries, Khatla, Aizawl, PIN 796001.
5. Fill in the unit's particulars, the generating set's capacity, the invoice value, the installation charge, the total and the 50 per cent claimed subject to Rs 3,00,000.
6. Attach the invoice, installation bill, proof of payment, Udyam certificate, proof of the production start date and the unit's bank account details.
7. Submit at your District Industries Centre, Aizawl, Lunglei, Siaha, Lawngtlai, Champhai, Serchhip, Mamit, Kolasib, Hnahthial, Khawzawl or Saitual, and collect a dated acknowledgement.

How is the claim verified and how do you check status?

The District Industries Centre visits the premises, physically identifies the generating set against the make, model and serial number on the invoice, confirms that it serves the industrial unit, and forwards the file to the Directorate of Industries with a recommended amount. Sanction is issued by the Directorate and released to the enterprise's bank account, subject to the incentive budget for that year.

There is no online status page for the 2012 policy heads. Follow up first with the DIC holding the file, quoting the acknowledgement number, then with the Directorate of Industries on 0389-2322450, 0389-2325706 or 0389-2316247, or by email to dirind-mz@gov.in.

Why generating set subsidy claims get rejected

• Invoice in a personal name, which breaks the link between the asset and the enterprise.
• The set is not found at the unit during verification, or its serial number does not match the invoice.
• The 5-year window has closed since production commenced.
• Installation charge claimed without a bill, so only the machine cost is allowed.
• The set was funded by another scheme in full, leaving no cost borne by the unit.
• Duplicate claim against the same per-unit ceiling.
• The unit is not in production, so the captive set is not serving an industrial purpose.

What changed under the Industrial and Investment Policy of Mizoram 2025?

The Government of Mizoram notified The Industrial and Investment Policy of Mizoram, 2025 on 21 August 2025 vide No.P-19020/6/2025-C&I, published in the Mizoram Gazette Extraordinary Issue No. 597 dated 22 August 2025, with immediate effect. Incentives under clause 8.1 are disbursed only after commencement of commercial operations.

This head continues as item 7 of the 2025 table, as Subsidy on Captive Power Generating Set, with three changes:

• The rate remains 50 per cent of the cost of the set and installation charge.
• The ceiling rises from Rs 3 lakh to Rs 7 lakh per unit.
• The head is expressly widened to cover sets including renewable sources of energy, so a solar or hybrid captive installation now qualifies alongside a diesel genset.
• Eligibility remains a new MSME within a period of 5 years from the date of commencement of production; unlike the power line head, whose window was cut to one year.

The renewable extension is consistent with the 2025 policy's wider green package, which adds capital subsidies of up to 50 per cent for effluent treatment plants and zero liquid discharge systems capped at Rs 10 lakh, Rs 5 lakh per unit for solid waste and plastic recycling infrastructure, a 25 per cent capital subsidy on certified pollution control devices, and additional support for GRIHA or LEED-certified green buildings.

Key dates

• 2012 — Mizoram Industrial Policy 2012 notified Subsidy on Power Generating Set at 50 per cent capped at Rs 3 lakh.
• 1 July 2020; Udyam Registration replaced Entrepreneur Memorandum Part-II.
• 21 August 2025, Industrial and Investment Policy of Mizoram 2025 notified, raising the ceiling to Rs 7 lakh and extending it to renewable captive generation.

Where to raise a grievance

• Directorate of Industries, Khatla, near Royale Lalawi Hotel, Aizawl, PIN 796001 to 0389-2322450, 0389-2325706, 0389-2316247, dirind-mz@gov.in
• Public Grievance link on industries.mizoram.gov.in
• Your District Commerce & Industries Office for district-level follow-up

The only legitimate charge in this process is Rs 50 per prescribed application form. No agent can charge to get a subsidy sanctioned.