AI SummaryPromotion of Energy Audit and Conservation of Energy (PEACE): Incentive for Implementing Energy Audit Recommendations is a state scheme of Tamil Nadu that gives cash support to manufacturing MSMEs. Under this part of the PEACE scheme, the government covers 25% of the cost of eligible components, up to a maximum of ₹2,00,000, when a business acts on the suggestions given in its energy audit report.
The scheme is run by the Micro, Small and Medium Enterprises Department of the Government of Tamil Nadu. It rewards units that cut their energy use, which helps bring down electricity bills and running costs. This incentive covers the machinery, retrofit and technology bought to improve energy efficiency after the audit is completed.
PEACE Incentive for Implementing Energy Audit Recommendations
To claim this support, the unit must be a manufacturing MSME in Tamil Nadu that has completed a detailed energy audit. The business also needs to show at least 15% savings in specific energy consumption, measured in the units of energy used per unit of product, compared with the 12 month average before the recommendation was put in place.
Only expenses made after the energy audit are eligible for the subsidy. The claim has to be filed with the District Industries Centre (DIC) or RJD in Chennai in the prescribed Format II. Applications are accepted from three months after the date of implementation of the recommendations, and must be filed within one year of that date.
| Detail | Information |
|---|---|
| Scheme Name | PEACE Incentive for Implementing Energy Audit Recommendations |
| Level | State (Tamil Nadu) |
| Nodal Department | Micro, Small and Medium Enterprises Department |
| Target Beneficiaries | Manufacturing MSMEs |
| Subsidy Amount | 25% of eligible cost, up to ₹2,00,000 |
| Savings Required | At least 15% energy savings |
| Application Mode | Online on MSME Tamil Nadu portal |
| Official Website | msmeonline.tn.gov.in |
Benefits
A unit can get a subsidy equal to 25% of the cost of eligible components, subject to a maximum limit of ₹2,00,000. The eligible items include energy-saving technology, replacement equipment and machinery modifications recommended in the energy audit report.
If the unit has taken a bank loan to pay for these improvements, the subsidy is released to the bank and adjusted against the loan balance. Where no loan is involved, the amount is given directly to the MSME after the auditor certifies that the recommendations have been carried out.
Eligibility
Only manufacturing MSMEs that have already completed an energy audit can apply. The unit must reach at least 15% savings in specific energy consumption, worked out on the 12 month average before implementation compared with a minimum 3 month average after the changes are in place.
The following units cannot claim this benefit:
- Micro, small and medium service enterprises, since the scheme is only for manufacturing units.
- Manufacturing units that have already received a similar subsidy for the same purpose from any other state or central government department or agency.
Application Process
STEP 1 - Go to the official MSME Tamil Nadu portal and click on Login or Registration in the top ribbon. Provide basic details including Aadhaar and contact information to create a secure account.
STEP 2 - Log in using the registered credentials through the login page.
STEP 3 - Open the Schemes section, choose the PEACE Implementing Energy Audit Recommendations option and click Apply Online to fill in the application form. Review the details, accept the terms and note down the reference number.
STEP 4 - Upload the required documents under the Upload Documents tab using the application ID. All files should be in PDF format and under 200 kb in size. Verify the files before saving.
STEP 5 - Submit the application. A confirmation message is sent to the registered mobile number when the application reaches the concerned district authority.
Documents
Keep these documents ready before applying: a copy of the Udyam Certificate, proof of registration (Partnership, LLP or Incorporation papers), the energy auditor engagement letter, proof of the auditor's Bureau of Energy Efficiency accreditation, a self-certified statement of expenditure and the detailed energy audit report. All files should be in PDF format and under 200 kb.
References
PEACE Implementation Guidelines PDF | PEACE Scheme Detail | Contact Us
FAQ's
How much subsidy can a manufacturing MSME get?
The subsidy is 25% of the cost of eligible components, subject to a maximum limit of ₹2,00,000.
What energy savings are required to qualify?
The unit must show at least 15% savings in specific energy consumption compared with the 12 month average before implementation.
When should the claim be filed?
The claim should be filed after three months from the date of implementation of the recommendations and within one year of that date.
How can an applicant track the status?
The progress can be followed using the official tracking link on the MSME Tamil Nadu portal.